A man buys 20 Pens and 16 Pencils in 360. He sells each pen at 25% profit and each pencil at 40% profit. He gets 120 profit in whole, find the CP of one pencil.
Answer & explanation
Correct answer: option 3
Overall = 120 profit
\(\frac{120 × 100}{360}\) = \(\frac{100}{3}\)
Total CP (9) → 360
Total CP (5) → \(\frac{360}{9}\) × 5 = 200
CP of 1 Pencil = \(\frac{200}{16}\) = 12.5