Question

A dealer buys an article listed at Rs.100 and gets successive discounts of 10% and 20%. He spends 10% of the cost price on transport. At what price should he sell the article to earn a profit of 15%?

• A. Rs.$90$
• B. Rs.$90.02$
• C. Rs.$91.08$
• D. Rs.$91.28$

Answer 1

The correct option is C Rs.$91.08$

The cost price of the article after discount $=90$ of $Rs.100$

$=\frac{90}{100}\times \frac{80}{100}\times Rs.100=Rs.72$

Amount spent on transport $=10\%$ of $Rs.72=Rs.7.20$

$\therefore$ Net C.P. $=Rs.72+Rs.7.20=Rs.79.20$

Profit $=15$

$\therefore$ S.P.= Rs$\left(\frac{79.2\times 115}{100}\right)=Rs.91.08$