Question

A shopkeeper allows a cash discount of 12.5% on a machine. A customer pays an amount of Rs 437.50 for a machine. At what price is the machine listed?

Answer 1

Let the listed price of machine be x, then 

x - 12.5% of x = 437.50

⇒ x - 12.5x/100 = 437.50

⇒ (100x - 12.5x)/100 = 437.50

⇒ 87.5x = 437.50 × 100

⇒ 87.5x = 43750

⇒ x = 43750/87.5 = 500

∴ The listed price of machine is Rs. 500

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