Multiple choice

Suresh consigned 2,000 pieces of goods to his agent costing 30 each and an invoice price of 20% over cost price. 4/5th of the goods were sold by Agent at a profit margin of 25% on his cost. Sale value of goods will be:

  1. 90,000

  2. 60,000

  3. 72,000

  4. 75,000
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Cost price = 30. Invoice price = 30 * 1.2 = 36. 4/5 of 2000 = 1600 pieces sold. Agent's cost = 1600 * 36 = 57600. Profit margin 25% on cost = 57600 * 1.25 = 72000.

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