A rickshaw is sold at a gain of 10 percent. had it been sold for Rs 720 more the profit would have been 16 percent. find its cost price.step by step solve
Answers
Answer:
Cost price of rickshaw = Rs.12,000
Step-by-step explanation:
Let CP be the cost price of the rickshaw
Let SP be the selling price of the rickshaw
We are given that:
When selling price = SP, Profit% = 10
=> SP = CP + (10% of CP)
=> SP = CP + 0.1*CP
=> SP = 1.1*CP ..........(Eqn 1)
Also,
When selling price = (SP + 720), Profit% = 16
=> (SP + 720) = CP + (16% of CP)
=> SP + 720 = CP + 0.16*CP
=> SP + 720 = 1.16*CP .......(Eqn 2)
Now, subtracting (Eqn 1) from (Eqn 2), we get:
SP + 720 - SP = 1.16*CP - 1.1*CP
=> 720 = 0.06*CP
=> CP = 720/0.06
=> CP = 12000
Cost price of rickshaw = Rs.12,000
Verify:
CP = 12000
When P% = 10, SP = 1.1*12000 = 13200
If Selling Price is Rs.720 more, SP = 13920
If SP = 13920, Profit = (SP - CP) = 1920
Profit% = 100*(Profit/CP) = 100*(1920/12000) = 192000/12000 = 192/12 = 16
(Verified)