A furniture manufacturer sells a sofa set to a showroom at a 20% discount on the marked price, but adds a 15% handling fee on the discounted price. The showroom then sells the set for ₹6,000 more than what they paid, thereby earning a profit of 25%. At what price had the manufacturer marked the sofa set?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. ₹26086.96.
Let the marked price be 100x.
Discounted price = 80% of 100x = 80x
Price paid by showroom = 80x + (15% of 80x)
⇒ 80x + 12x = 92x
SP of showroom = 92x + 6000
Also, they earn 25%, SP = CP × (100 + P)/100
⇒ 92x × 125/100 = 115x
So, 115x = 92x + 6000
⇒ 23x = 6000
⇒ x = 260.8696
Now, MP = 100x = 26086.96