Question

selling price of a toy car is ₹540. if the profit made by shopkeeper is 20%. what is the cost price of this toy

Answer 1

Selling Price = ₹540
Profit = 20 %
Cost Price = Selling Price × 100/100 + Profit %
= 540 × 100/100 + 20
= 54000/120
= ₹450.

Answer 2

Solution:

Given Question:

Selling price of a toy car is ₹540. if the profit made by shopkeeper is 20%.

Find:

What is the cost price of this toy.

Given:

1. Selling Price (SP) → ₹540
2. Profit (P) → 20%
3. We need to find Cost Price (CP)

METHOD - (1)

1. 20% = Profit
2. Cost Price (CP) = 100
3. Profit = ₹20

→ SP = 100 + 20 = 120

→ SP = ₹120

→ CP = ₹100

→ SP = ₹540

→ CP = 100/120 × 540 = ₹450

Therefore, 450 is the cost price.

METHOD - (2)

→ P = 20% of CP and SP = CP + P

→ 540 = CP + 20% of CP

→ CP + 20/100 × CP = ( 1 + 1/5 ) CP

→ 6/5 CP

→ 540 × 5/6 = CP

→ ₹450 = CP

Therefore, 450 is the cost price.