Multiple choice

Anu sold her phone at a profit of 12% after offering a discount of 16%. If the marked price of the phone was Rs. 5000, find its cost price.

  1. Rs. 3800

  2. Rs. 3790

  3. Rs. 3750

  4. Rs. 3700

  5. Rs. 3600
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

MP = 5000. Discount = 16%, so SP = 5000 * 0.84 = 4200. Profit = 12%, so SP = CP * 1.12. CP = 4200 / 1.12 = 3750.

AI explanation

Applying the successive percentage formula for net profit or loss, we calculate the selling price factor as 0.84 x 1.12 = 0.9408. Multiplying this by the marked price gives the selling price of 0.9408 x 5000 = Rs. 4704. This selling price equals 1.12 times the cost price, so dividing 4704 by 1.12 yields a cost price of Rs. 3750.

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