Question
A man purchased 100 rolls of paper for Rs. 22 per roll.
He spent Rs. 700 on their transportation. He also paid 20 paise per roll for packing of each roll. At what price must he sell each roll to gain 25% overall?Solution
Effective cost price of 100 rolls of paper = (100 × 22) + 700 + (100 × 0.20) = 2200 + 700 + 20 = Rs. 2920 Selling price at 25% profit = 1.25 × 2920 = Rs. 3650 Therefore, selling price of each roll of paper = 3650/100 = Rs. 36.50
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