Question

An article is sold for Rs $500$ and hence a merchant loses some amount. Had the article been sold for Rs $700$ the merchant would have gained three times the former loss. The cost price of the article is

• A. Rs $525$
• B. Rs $550$
• C. Rs $600$
• D. Rs $650$

Answer 1

The correct option is B Rs $550$

Let the loss in the first case=Rs $x$ by when the article is sold at Rs $500$.

$\therefore$ Its C.P.$=(500+x)$...........(i)

In the second case The S.P.$=Rs700$ and he gains $3$ times of Rs $x$.

$\therefore Rs(700-500-x)=Rs3x$

Or $4x=200$

Or $x=Rs50$.

$\therefore$ From (i) the C.P.$=Rs(500+50)=Rs550$.

So the cost price of the article $=Rs550$.

Ans Option B.