Question: A tradesman prices his goods so as to gain 5%. A fall of 10% in the wholesale price occurs and he alters his selling price so as to gain 10% under the new conditions. A customer now purchases an article at Rs. 12 less than before. The former price of the article was
Options:
A) 200
B) 125
C) 190
D) 188
Show Answer
Answer:
Correct Answer: A
Solution:
- Let original $ CP=100x $
Original $ SP=105x $
Present $ CP=90x $
Present $ SP=\frac{11}{10}\times CP=\frac{11}{10}\times 90x=99x $
Difference between $ SP=105x-99x=99x $
But $ 6x=12 $
$ \Rightarrow $ $ x=2 $
$ \therefore $ Original $ CP=100\times 2=200 $