The profit earned when a painting is sold for ₹1,200 is 15 times the loss incurred when it is sold for ₹240. At what price should the painting be sold to make a profit of 40%?
Answer & explanation
Correct answer: option 3
Let the cost price of the painting = x
The profit earned when a painting is sold for 1,200 is 15 times the loss incurred when it is sold for 240.
1200 - x = 15 (x - 240)
1200 - x = 15x - 3600
15x + x = 3600 + 1200
16x = 4800
x= 300
To obtain a profit of 40%, selling price = 300 of (100+40)%
= 300 of 140% = 4200