An article sold at a gain of 12.5% instead of a loss of \(16\frac{2}{3}\)% brings the seller Rs 1533 more. Find the selling price of the article if it is sold at a gain of 10%.
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Rs 5781.60
Gain and loss per cent are both taken on the cost price. Going from a loss of \(16\frac{2}{3}\)% to a gain of 12.5% raises the selling price by the sum of the two percentages of the cost price.
Rise in selling price \(\displaystyle =12.5\%+16\frac{2}{3}\%=29\frac{1}{6}\%=\frac{175}{6}\%\) of the cost price
\(\displaystyle \frac{175}{600}\times\text{Cost price}=1533\)
\(\displaystyle \text{Cost price}=\frac{1533\times600}{175}=\) Rs 5256
Selling price at a 10% gain \(=5256\times1.1=\) Rs 5781.60
The selling price is Rs 5781.60.