A man purchased two items at the same price and sold one at a profit of 10% and the other at a loss of 5%. If the difference between the two selling prices is ₹60, then what is the sum of cost price of the two items?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is Option 4 i.e. Rs. 800.
The selling price of the first item at 10% profit = x + 1.10x = 1.10x
The selling price of the second item at 5% loss = x - 0.05x = 0.95x
Now, according to the given information, the difference between the two selling prices is Rs.60:
1.10x − 0.95x = 60
Solve for x:
0.15x = 60
x = 400
Now, the cost price of each item is Rs.400
The sum of the cost prices of the two items is:
The sum of Cost Prices = 2 × Cost Price of each item
The sum of Cost Prices = 2 × 400 = 800
Therefore, the sum of the cost prices of the two items is Rs.800.