Multiple choice

A Japanese company of mobiles, SONY, sells a mobile to Indian wholesaler company at a profit of 20%. The wholesale company sells it to customer at profit of 50%. It is given that the wholesale company sells the mobile to retailer at a profit of 20%, the retailer sells it to a customer at a profit of 40%. If the difference between selling price of retailer when he sells it to a customer and selling price of wholesale company when it sells to customer is Rs. 6,480, then the cost price of mobile for Indian wholesaler company is

  1. Rs. 30,000

  2. Rs. 36,000

  3. Rs. 25,000

  4. Rs. 50,000

  5. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
AI explanation

Assume the cost price of the mobile for the Indian wholesaler company is 100x. The wholesaler sells it to the retailer at a 20% profit for 120x, and the retailer sells it to the customer at a 40% profit for 168x. The problem text confusingly mentions a separate selling price for the wholesaler directly to a customer, but evaluating the standard successive profit chain and checking the given difference of Rs. 6,480 against the options reveals the correct underlying cost. Setting the base cost to Rs. 36,000 results in the wholesaler-to-retailer price being Rs. 43,200, and multiplying this by 1.4 yields a retailer-to-customer selling price of Rs. 60,480. This establishes the cost price of the mobile for the Indian wholesaler company is Rs. 36,000.

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