Multiple choice

A shopkeeper marked every item 25% above the cost price and allowed 10% discount. Shruti being a regular customer got 5% additional discount on the bill and paid Rs. 2394 for the item purchased. What is the cost price of the item (in Rs.)?

  1. 2240

  2. 2440

  3. 2140

  4. 2010

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

Let CP = x. Marked price = x + 0.25x = 1.25x. After 10% discount: 1.25x × 0.9 = 1.125x. After additional 5% discount: 1.125x × 0.95 = 1.06875x. Since Shruti pays Rs. 2394, we have 1.06875x = 2394, giving x = 2394/1.06875 = Rs. 2240.