Question
A vendor priced an item 25% higher than its cost price.
During the sale of the pen drives, if the seller enhances the discount from 15% to 20%, the profit will decrease by Rs. 1525. Determine the selling price at which the pen drives should be sold to achieve a profit of 40%.Solution
ATQ, Let, cost price of pen drive be Rs. 'p'. So, mark price = Rs. 1.25p According to question, 1.25p × [0.85 - 0.80] = 1525 1.25p = 30500 p = 24400 Therefore, required selling price = 24400 × 1.4 = Rs.34160
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