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A wholeseller sells a jacket to a retailer at a profit of 5% and the retailer sells it to a customer at a profit of 10%. If the customer pays Rs. 4,158 for the jacket, then what was the cost price of the jacket for the wholesaler ?

Solution

Correct Option: 4

Let wholesaler's CP = xx.

Retailer's CP = 1.05x1.05x; Customer pays 1.05x×1.10=1.155x1.05x \times 1.10 = 1.155x.

1.155x=41581.155x = 4158, so x=41581.155=3600x = \frac{4158}{1.155} = 3600.

Cost price for wholesaler = Rs. 3,600.

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