Question
By selling a TV set for Rs 16,800 a salesman gains a
profit of 20%. If the production cost is increased by 20%, find the new selling price of the set to gain 20%.Solution
Original Cost Price (CP): CP= 16,800 /1.20 = 14,000 New CP after 20% increase: New CP =14,000 × 1.20 = 16,800 New Selling Price (SP) for 20% profit: New SP =16,800 × 1.20 = 20, 160 New Selling Price: Rs 20,160
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