A manufacturer sells cooking gas stoves to shopkeepers at 10% profit, and in turn they sell the cooking gas stoves to customer to earn 15% profit. If a customer gets a cooking gas stove for ₹7,590, then what is its manufacturing cost?
Answer & explanation
Correct answer: option 4
Cost price for the customer = 7590
Let the original manufacturing cost = x, then
x × \(\frac{11}{10}\) × \(\frac{23}{20}\) = 7590
⇒ x = 7590 × \(\frac{20}{23}\) × \(\frac{10}{11}\)
x = Rs. 6000