Question

Hemant purchased 120 rims of paper at 280 per rim. He spent Rs 280 on transportation, paid tax at the rate of 40 paise per rim and paid Rs 72 to the coolie. If he wants to have a gain of 8%, the selling price per rim must be:

• A. Rs 89
• B. Rs 90
• C. Rs 95
• D. Rs 93
• E. None of the above

Answer 1

The correct option is B Rs 90

We have,
Cost price (C.P.) =$(120\times 80+280+72+120\times 40)$
=Rs 10000.
Gain % =8%
$\therefore$ Selling Price (S.P.) of 120 rims
$=\left(\frac{100+Gain\%}{100}\right)\times C.P.=\left(\frac{100+8}{100}\right)\times 10000=\frac{108}{100}\times 10000=Rs10800$
Thus, selling price per rim $=\frac{10800}{120}=Rs90$