Multiple choice

Marked price of an article is 1600 Rs. More than the cost price. When the same article is sold at a discount of Rs. 500 then the percent profit earned is 25%. For earning a profit of 30%, the article should be sold at what price?

  1. 5720

  2. 5520

  3. 5862

  4. 6234

  5. None of these

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Let CP = x. Then MP = x + 1600. Selling at discount of 500 gives SP = x + 1600 - 500 = x + 1100. Profit is 25%, so (x + 1100 - x)/x = 0.25, giving 1100/x = 0.25, x = 4400. For 30% profit, new SP = 4400 + 0.30(4400) = 4400 + 1320 = 5720. The claimed answer of 5720 (option A) is correct.