A person sold an article at a loss of 4%. Had he sold it at a gain of 1%, he would have received RS 42.5 more. To gain 18%, what must be his selling price?
Answer & explanation
Correct answer: option 3
If we take base(CP) as 100
In ratio, the given conditions can be written as -
SP1 : CP : SP2
96 : 100 : 101
The difference between SP1 and SP2 : 5R = 42.5(given)
R = 8.5
Thus, CP = 100 x 8.5 = Rs 850
SP at 18% gain = 850 x $\frac{118}{100}$ = Rs 1003