A Publishers Supplies books to a book-seller at a 20% discount on the list price of Rs. 1,574.80. If the book-seller sells books at the list price and if his expenses for the freight etc. are Rs.45.40, determine his profit.
Show answer & explanation
Correct answer: B
Explanation
The Correct answer is option 2 i.e. Rs.269.56.
Given:
The list price of the book = Rs. 1,574.80
Discount provided by the publisher = 20%
Expenses for freight etc. = Rs. 45.40
Discount = 20% of 1574.80
= (20/100) × 1574.80
= Rs. 314.96
Cost price to the seller after the discount:
Cost price = List price - Discount
= 1574.80 - 314.96
= Rs. 1259.84
Add the expenses to the cost price to get the total cost:
Total cost = Cost price + Expenses
= 1259.84 + 45.40
= Rs 1305.24
Since the seller sells the book at the list price, the selling price is the same as the list price:
Selling price = Rs. 1574.80
Profit = Selling price - Total cost
= 1574.80 - 1305.24
= Rs. 269.56
So, the profit of the bookseller is Rs. 269.56.