Question
Roshan purchased 100 rolls of paper for Rs. 20 per roll.
He spent Rs. 400 on their transportation. He also paid 20 paise per roll for packing of each roll. At what price must he sell each roll to gain 25% overall?Solution
Effective cost price of 100 rolls of paper = (100 × 20) + 400 + (100 × 0.2) = 2000 + 400 + 20 = Rs. 2420 Selling price at 25% profit = 1.25 × 2420 = Rs. 3025 Therefore, selling price of each roll of paper = 3025/100 = Rs. 30.25
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