If 12% of the cost price of a good is the same as 10% of its selling price, and 15% of the cost price is ₹10 more than 12% of the selling price, then what is its selling price?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → ₹2,000
The first condition gives the cost price in terms of the selling price; putting that into the second condition leaves an equation in the selling price alone.
Cost price from the first condition (let the cost price be C and the selling price S):
\(0.12C=0.10S\), so \(\displaystyle C=\frac{10}{12}S=\frac{5}{6}S\)
15% of the cost price: \(\displaystyle 0.15\times\frac{5}{6}S=0.125S\)
Second condition (15% of C is ₹10 more than 12% of S):
\(0.125S-0.12S=10\)
\(0.005S=10\)
\(S=2000\)