Question

An article was sold at a profit of 20%. If the cost price would be 10% less and selling price would be Rs. 24 more, there would be profit of 40%. Then to gain 60% at what price it should be sold?
1. 400
2. 240
3. 640
4. 460

Answer 1

Correct Answer - Option 3 : 640

Given:

An article was sold at a profit of 20%.

If the cost price would be 10% less and selling price would be Rs. 24 more, there would be profit of 40%.

Formula Used:

Profit% = Profit/CP × 100

Loss% = Loss/CP × 100

Reduced CP × profit% = New SP

Calculation:

Let the cost price of article = 100x

SP of article = 120/100 × 100x = 120x

From the question we get,

9/10 × 100x × 140/100 = 120x + 24

⇒ 126x = 120x + 24

⇒ x = 4

Original CP = 100x = 100 × 4 = Rs. 400

To gain 60%,

SP = Rs. (160/100 × 400) = Rs. 640

∴ It should be sold at Rs. 640