Question
'A' purchased an article and sold it to 'B' at 10%
profit. 'B' marked it up by 20% above the price at which 'A' has purchased it and then sold it after giving a discount of Rs. 711.2. If 'B' suffered a loss of 14% in the transaction, then find the cost price of the article for 'A'.Solution
Let the cost price of the article for A be Rs. x Therefore, cost price of the article for B = Rs. 1.1x Marked price of the article = Rs. 1.2x Selling price of the article for B = 0.86 × 1.1x = Rs. 0.946x According to the question, 1.2x – 0.946x = 711.2 Or, x = 711.2/0.254 = 2800 Therefore, cost price of the article for A = Rs. 2800
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