A dealer buys an old cooler listed at ₹650 and gets successive discounts of 20% and 10%. He spends ₹38 on its repairs and sells it at a profit of 20%. Find the selling price of the cooler.
Answer & explanation
Correct answer: option 4
Given:
Marked price = Rs. 650
Discounts = 20% and 10% (Successive discount = 28%)
The cost of repairs = Rs. 38
Selling profit = 20%
ATQ,
CP = 650 × \(\frac{100 - 28}{100}\) + 38 = 506
Selling price at 20% profit = 120% of 506 = ₹607.2