Multiple choice

If a shopkeeper marks an item 50% above its CP and if 20% discount is given on the marked price and the shopkeeper makes profit of 256 Rs, then what will be the actual cost price of the item?

  1. $1296 Rs$
  2. $1280 Rs$
  3. $1320 Rs$
  4. $1500 Rs$
  5. $1456 Rs$
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Let CP be x. Marked price = x + 50% of x = 1.5x. After 20% discount, selling price = 1.5x - 20% of 1.5x = 1.2x. Profit = 1.2x - x = 0.2x = 256. Therefore x = 256/0.2 = 1280 Rs.

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