A grocer purchased 50 bags of rice at 600 rupees per bag. He spent rupees 500 for transportation. Due to lack of demand of rice, he incurred a loss of 20%. At what price did he sell the rice bags?
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Number of bags of rice purchased by merchant = 50
Cost of each bag = rs 600
Transportation charge for all bags = rs 500
Total money spent by the merchant = rs [(600 × 50)+500]
=[30,000+500]
=30500
Loss = 20 %
Money gained = [30500 -(20 % of 30500 )]
=[30500 -4650]
=25850
Selling price for each rice bags = rs 25850 /50
= rs 517
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