A person sells wheat at a profit of 25 percent. If he reduces its selling price by Rs. 40, then the suffers a loss of 25 percent. What was the initial selling price of the wheat?

Rs. 100

Profit% on CP + loss% on CP= Total reduce in selling price

 (25% + 25%) of CP = Rs.40

100% of CP = Rs.80

Selling price = 80 ×  \(\frac{5}{4}\) = Rs.100