A trader sells calculators for ₹1,008 each, after giving 16% discount on the…
2022
A trader sells calculators for ₹1,008 each, after giving 16% discount on the marked price. If he does not give discount, then he earns a profit of 25% on the cost price. What is the cost price (in ₹) of each calculator?
- A.
950
- B.
960
- C.
980
- D.
990
Attempted by 24 students.
Show answer & explanation
Correct answer: B
Step 1: Find the Marked Price (MP).
The selling price (SP) is 1008 after a 16% discount.
MP = SP × [100 / (100 - Discount %)]
MP = 1008 × (100 / 84)
MP = 12 × 100 = 1200.
Step 2: Find the Cost Price (CP).
If no discount is given, the item is sold at the Marked Price.
So, the new SP is 1200, which includes a 25% profit.
CP = New SP × [100 / (100 + Profit %)]
CP = 1200 × (100 / 125)
CP = 1200 × (4 / 5) = 960.
Final Answer: Option B