Question

A shoe is sold at ₹ 705.5, the shopkeeper incurs a loss of 17%, then, what should be his selling price to gain a profit of 17%?

1. 994.50
2. 990.50
3. 992.50
4. 999.50

Answer 1

Correct Answer - Option 1 : 994.50

Given:

CP = Cost Price

Selling Prices = SP₁ and SP₂

SP₁ = ₹ 705.5

SP₂ =?

Formula used:

Loss % = [(CP – SP)/CP] × 100

Profit % = [(SP - CP)/CP] × 100

Calculation:

According to question –

17 = [(CP – 705.5)/CP] × 100

⇒ 0.17CP = CP – 705.5

⇒ 0.83CP = 705.5

⇒ CP = 705.5/0.83

⇒ CP = ₹ 850

Again, profit% = [(SP – CP)/CP] × 100

⇒ 17 = [(SP – 850)/850] × 100

⇒ (SP – 850) = (17× 850)/100

⇒ (SP – 850) = 144.50

⇒ SP = 850 + 144.40

⇒ SP = ₹ 994.50

Or

SP = 117% of CP

⇒ SP = 117% of 850

⇒ SP = ₹ 994.50