Question

A merchant purchases a wrist watch for Rs. $450$ and fixes the list price in such a way that after allowing a discount of $10\%$ he earns a profit of $20\%$. The list price of the watch is?

• A. Rs. $500$
• B. Rs. $600$
• C. Rs. $700$
• D. Rs. $750$

Answer 1

The correct option is B Rs. $600$

let the list price be $x$ . Discount is $x/10$ . Selling price is $9x/10$

Given profit percentage is 20 . So selling price is $120\ast 450/100=540$

$9x/10=540$ ,$x=600$

Hence Option B is correct.