Question
A shopkeeper sells a product for ₹9000 and gains 20%.
If he had bought the product at 10% lower cost price, he would have gained 25%. What will be the selling price of the product?Solution
Let the original cost price of the product be ₹x. Selling price = ₹9000, Gain = 20%, So, the cost price = 9000 / (1 + 20/100) = 9000 / 1.2 = ₹7500. Now, if the shopkeeper had bought the product at 10% lower cost price, the new cost price would be: New cost price = 7500 × (1 - 10/100) = 7500 × 0.9 = ₹6750. If the cost price was ₹6750, the gain would have been 25%, so: Selling price = 6750 × (1 + 25/100) = 6750 × 1.25 = ₹8437.5.
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