Question

Mr,A owns a home worth Rs.$10,000$. He sells it to Mr.B at a $10\%$ profit based on the worth of the house. Mr.B sells the house back to Mr.A at a $10\%$ loss. Then:

• A. A comes out even
• B. A makes Rs.$1100$ on the deal
• C. A makes Rs.$1000$ on the deal
• D. A loses Rs.$900$ on the deal

Answer 1

The correct option is B A makes Rs.$1100$ on the deal

$\text{C.P. of B = 110\% of Rs. 10000 = Rs. 11000}$
$\text{Loss of B = 10\%}$
$\text{S.P. of B = 90\% of Rs. 11000 = Rs. 9900}$
$\text{Thus, C.P. of A = Rs. 9900}$
$\text{So, A gets [(10\% of Rs. 10000) + (10000 - 9900)] = Rs. 1100}$