A shopkeeper marked every item 25% above the cost price and allowed 10% discount. Shruti being a regular customer got 5% additional discount on the bill and paid Rs 2394 for the item purchased. What is the cost price of the item (in Rs)?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. 2240
Let the CP = 100x
Marked price = 125% of 100x = 125x.
Selling price after first discount = 125x × 90% = 112.5x
Selling price after additional discount = 112.5x × 95% = 106.875x
106.875x = 2394
x = 22.4
100x = 2240