Question

An orange vendor makes a profit of 20% by selling oranges at a certain price. If he charges Rs 1.2 higher per orange, he would gain 40%. Find the original price at which he sold an orange.

• A. Rs 5
• B. Rs 4.8
• C. Rs 6
• D. None of these

Answer 1

The correct option is D None of these

By charging Rs 1.2 more, his profit should double to 40%. This means that his profit of 40% should be equal to Rs 2.4. Thus, his cost price must be Rs 6 and his original selling price should be 7.2. Hence, option (d) is correct.