if a sells an article to b at a profit of 20% b sells it to C at a loss of 4% what does it cost A if C has paid rupees 144
Answers
A = Cost Price of A
B = Cost price of B
C = Cost price of C
B = Selling Price of A = A + (20÷100)A = A + 0.2A = 1.2A
C = Selling Price of B = B + (25÷100)B = B + 0.25B = 1.25B
Thus C = 1.25B = 1.25 × 1.2A = 1.5A = 225
Thus 1.5A = 225
Thus A = 225÷1.5
Thus A = 150 = Price at which A purchase the article.
In this question, the selling price at which 'A' sold it to be will be 'B's cost price.
And the price at which 'B' sold it to 'C' will be the selling price.
The amount would become 'C's cost price.
PRICE AT WHICH 'A' SELLS IT TO 'B'
by reducing it to the lowest terms, we get:
PRICE AT WHICH 'B' SELLS IT TO 'C' :
by reducing to the lowest terms we get:
as it is already given that 'C' paid ₹144, it means that 'B' sold it to 'C' for ₹144
hence,
by cancelling, we get
x = ₹125
as we assumed that it costs 'A' ₹x.
Hope it helps
(NOTE : This might be a bit tricky to understand. Therefore if you still face any difficulty in understanding this explanation, please do post the question again I'll give a detailed answer)
Thank you!!
VERIFICATION:
by cancellation,
sp at which 'A' sold it = ₹ 150
'B' sold it at a loss of 4%
sp should be ₹144
by cancellation,
we get the answer as : 24 × 6 = ₹144
therefore, ₹144 = ₹144
hence verified.