Question
An item is sold with a 20% loss.
If the cost price is reduced by Rs. 8 and the selling price is raised by Rs. 20, a profit of 20% would be achieved. What is the initial selling price of the item?Solution
ATQ, Let the cost price of the item be Rs. '10p' So, selling price = Rs. 8p ATQ, (10p - 8) × (6/5) = (8p + 20) Or, 60p - 48 = 40p + 100 Or, 20p = 148 So, 'p' = 7.4 So, original selling price = 8p = 8 × 7.4 = Rs.59.20
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