A man purchased a cell phone for ₹ 24,500 and sold it at a gain of 12.5% calculated on the selling price. The selling price of the cell phone was:
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. ₹ 28,000
Given:
A man purchased a cell phone for ₹ 24,500 and sold it at a gain of 12.5%
Formula used:
Profit = SP - CP ---- (1)
Profit% = [Profit/CP] × 100 ---- (2)
Where, SP = selling price and CP = cost price
Calculations:
Let the SP be 100x
Profit = 12.5% of 100x = 12.5x
CP = 100x - 12.5x = 87.5x
We know that,
⇒ 87.5x = 24500
⇒ x = 280
Selling price = 100x = 100 × 280 = 28000