Multiple choice

A businessman fixed the selling price of an article after increasing the cost price by 40%. Then, he allowed his customer a discount of 20% and gained Rs. 48. The cost price of the article is

  1. Rs. 200

  2. Rs. 248

  3. Rs. 400

  4. Rs. 448
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Let CP = 100x. Marked Price = 140x. Selling Price = 140x * 0.8 = 112x. Gain = 112x - 100x = 12x. 12x = 48 => x = 4. CP = 100 * 4 = 400.

AI explanation

Let the cost price be C, so the marked price becomes 1.40C after the 40 percent increase. The selling price is this marked price less a 20 percent discount, so Selling Price = 1.40C x 0.80 = 1.12C. The gain is given as Rs. 48, and since Gain = Selling Price - Cost Price, we have 1.12C - 1.00C = 0.12C = 48. Solving this equation gives C = 48 / 0.12, which makes the cost price Rs. 400.

Keep practicing — related questions