A bag is sold at a discount of 12.5%. The marked price of the bag is ₹6,400 and the profit earned is 25%. What is the cost price of the bag?
Answer & explanation
Correct answer: option 3
Marked price of the bag= 6400
Discount = 12.5%
Profit = 25%
According to the question = 6400 × \(\frac{7}{8}\) × \(\frac{4}{5}\) = ₹4,480