Multiple choice

A sells a good to B at a profit of 20% and B sells it to C at a profit of 25%. If C pays Rs 225 for it. What was the cost price for A?

  1. 200

  2. 150

  3. 175

  4. 162.5
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Working backwards: C pays Rs 225 after B's 25% profit, so B's SP = 225. B's CP = 225/1.25 = Rs 180. A sold to B at 20% profit, so A's CP = 180/1.2 = Rs 150. Option B is correct.

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