Question

A shopkeeper marked the price of an item 40% above the cost price. He allowed two successive discounts of 25% and 12% to a customer. If he incurred a loss of Rs. 380, at what price did he sell the item to the customer?

• A. Rs. 4720
• B. Rs. 5250
• C. Rs. 4870
• D. Rs. 4620
• E. None of these

Answer 1

The correct option is D Rs. 4620

Let the cost price of the item = Rs. x

Marked price of the item = Rs. 1.4x

According to the question,

x – (1.4x × 75% × 88%) = 380

⇒ x – 0.924x = 380

⇒ x = 5000

Marked price of the item = 1.4 × 5000 = Rs. 7000

Selling price = 7000 × 75% × 88% = Rs. 4620

Hence, option D is the correct.