A shopkeeper sells an article for ₹800, making a profit of 25%. What was the cost price of the article?
Show answer & explanation
Correct answer: B
Explanation
Given:
Selling price = ₹800
Profit = 25%
Formula:
Selling price = Purchase price × (1 + Profit/100)
800 = CP × (1 + 25/100)
800 = CP × 1.25
CP = 800 / 1.25
CP = ₹640