Question

If the manufacturer gains $10\%$, the wholesale dealer $15\%$ and the retailer $25\%$, then find the cost of production of a table if the retail price was $Rs.1265$.

• A. Rs. 920
• B. Rs. 842
• C. Rs. 800
• D. Rs. 760

Answer 1

Answer: (C)

Rs. 800

Let the cost of production be Rs. P.
The manufacture gain $=10\%$
wholesale dealer gan $=15\%$
the retailer gain $=25\%$,

As per question,

$\Rightarrow$ $\frac{125}{100}$ $\times$ $\frac{115}{100}$ $\times$ $\frac{110}{100}\times P$ = Rs. 1265

$\Rightarrow$ $\frac{253P}{160}$ = Rs. 1265

$\Rightarrow P=1265\times \frac{160}{253}$

$\therefore$ P = Rs. 800