Question
Rahul purchased an item and later sold it to Pawan,
earning a profit of 19%. Pawan then sold the same item to Lokesh, making a 20% profit on his purchase price. If Lokesh paid Rs. 714 for the item, determine the original purchase price Rahul paid for it.Solution
Let, the price at which Rahul bought the article be Rs. ‘x’ So, cost price of article for Pawan = 119% of x = Rs. 1.19x And, cost price article for Lokesh = 120% of 1.19x = Rs. 1.428x Therefore, 1.428x = 714 x = 500 So, the price at which Rahul bought the article = Rs. 500 Hence, option b.
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