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If a saree is sold for Rs. 2880, the seller will incur a loss of 10%. At what price should he sell it to gain a profit of 20%?

Solution

✅ Correct Option: 3

Given that the saree is sold for Rs. 2880 with a 10% loss.

When there is a 10% loss, the selling price is 90% of the cost price.

Selling Price=90%×Cost Price\text{Selling Price} = 90\% \times \text{Cost Price}

2880=90100×Cost Price2880 = \frac{90}{100} \times \text{Cost Price}

2880=0.9×Cost Price2880 = 0.9 \times \text{Cost Price}

Cost Price=28800.9\text{Cost Price} = \frac{2880}{0.9}

Cost Price=3200\text{Cost Price} = 3200


To gain a profit of 20%, the new selling price must be 120% of the cost price.

New Selling Price=Cost Price+20%×Cost Price\text{New Selling Price} = \text{Cost Price} + 20\% \times \text{Cost Price}

New Selling Price=3200+20100×3200\text{New Selling Price} = 3200 + \frac{20}{100} \times 3200

New Selling Price=3200+0.2×3200\text{New Selling Price} = 3200 + 0.2 \times 3200

New Selling Price=3200+640\text{New Selling Price} = 3200 + 640

New Selling Price=3840\text{New Selling Price} = 3840

Therefore, the saree should be sold for Rs. 3840 to gain a profit of 20%.

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