Question

A coal merchant makes a profit of 20% by selling firewood at Rs. 25 per quintal. What did 240 quintals of firewood cost him?

• A. Rs. 5,000
• B. Rs. 4,000
• C. Rs. 3,000
• D. Rs. 2,000

Answer 1

The correct option is A Rs. 5,000

Given, Selling price of $1$ quintal firewood $=Rs25$

Now, Profit % $=20$ %
$=>\frac{S.P.-C.P.}{C.P.}\times 100=20$

$=>\frac{25-C.P.}{C.P.}\times 100=20$
$=>25-C.P.=0.2C.P.$
$=>1.2C.P.=25$
$=>C.P.=Rs\frac{250}{12}$
Hence, Cost price of $240$ quintals firewood $=Rs\frac{250}{12}\times 240=Rs5,000$