Question
An item is sold for a 12% profit. The marked price is
Rs. 840. The reduction from the marked price to selling price equals 28% of the difference between marked and cost price. Find the cost price of the item.Solution
ATQ,
Let the cost price be Rs. 100x
Then selling price = Rs. 100x × 1.12 = Rs. 112x
ATQ,
(840 - 112x) = (840 - 100x) × 0.28
Or, 840 - 112x = 235.2 - 28x
Or, 604.8 = 84x
So, x = 7.2
So, cost price = Rs. 100 × 7.2 = Rs. 720
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