If the manufacturer gains 10%, the wholesale dealer gains 15% and the retailer gains 25%, then find the cost of production of a table, if the retails price of which is ₹1265?
Answer & explanation
Correct answer: option 3
Let cost price of a table be Rs. x
According to the question
x × 110/100 × 115/100 × 125/100 = 1265
⇒ x × 11/10 × 23/20 × 5/4 = 1265
⇒ x = 1265 × 10/11 × 20/23 × 4/5
⇒ x = Rs. 800