A car dealer purchased an old car for Rs.1,08,500 and spent some amount on its maintenance. He sold it for Rs.1,56,250, there by earning a profit of 25%. How much money did he spend on the maintenance of the car?
Answer & explanation
Correct answer: option 1
CP of the car = 1,08,500
Let the amount spent on car maintenance = m
SP of the car = 156250
Price of the car after maintenance = 1,56250 × \(\frac{100}{125}\) = 1,25,000
m = 125000 - 108500
= m = 16500