Question
A trader purchases an item at 25% below the labeled
price and sells it at 35% above the labeled price. If his profit is ₹1,500, what is the cost price of the item?Solution
Let the labeled price = 100y Cost price = 75y Selling price = 135y Profit = 135y – 75y = 60y 1,500 = 60y y = 25 Cost price = 75y = 75 × 25 = ₹1,875
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