General Aptitude TestNumerical AbilityProfit and Loss

An item was sold for ₹500. If the selling price was 10% less, then th…

An item was sold for ₹500. If the selling price was 10% less, then the profit would have been 12.5%. What is the cost price of the item?

Answer & explanation

Correct answer: option 3

Selling price of the article = 500

If the selling price will be = 10% less

then profit would be = 12.5%

So according to the question,

Cost price of the article = 500 × \(\frac{9}{10}\) × \(\frac{100}{112.5}\) = 400