A miner sells a diamond to a trader at a profit of 40% and the trader sells it to a customer at a profit of 25%. If the customer pays Rs 56 lakhs to buy the diamond, what had it cost the miner (in Rs lakhs)?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4, i.e. 32
Let the cost of diamond for minor = x
AQ
x × 140/100 × 125/100 = 5600000
x = 3200000 = 32 lakhs