Question
A merchant sold a gadget incurring a 30% loss. If he had
marked up the price by 20% and then given a 15% discount, he would have earned Rs. 120 more. Find the cost price of the gadget.Solution
Let the cost price be Rs. x Selling at 30% loss → Selling Price = 0.70x Marked up by 20% → Marked Price = 1.2x After 15% discount → New Selling Price = 0.85 × 1.2x = 1.02x Difference in selling price = 1.02x – 0.70x = Rs. 120 So, 0.32x = 120 x = Rs. 375
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