Question

Ned goes to a gift shop to buy a gift for Ted on his birthday. He chooses a gift, gets it packed and pays ₹ 85, which was all he had. But the shopkeeper said that he would incur a loss of 15% on the overall transaction which includes packing charges for ₹ 10, if he gives away that piece for ₹ 85.

What was the actual price of the gift?

• A. 85
• B. 90
• C. 100
• D. 95

Answer 1

The correct option is B

90

Selling price of the article = ₹ 85

Loss % = 15

Let the Total cost price of the gift including the packing be ₹ 100

Loss = 15 % of 100 = ₹ 15

Selling price = ₹ 100 - 15 = ₹ 85

When Selling Price is ₹ 85 ; Total C.P = ₹ 100

When the Selling price is ₹ 1 ; Total C.P = ₹ $\frac{100}{85}$

When Selling price = 85 ; Total C.P = $\frac{85\times 100}{85}$ = ₹ 100

Hence Total cost price = ₹ 100 which includes the packing charges of ₹ 10

Hence the actual price of the gift = 100 - 10 = ₹ 90