A trader sells an item for Rs.516.60 after offering a discount of 18% on its list price. Had he not given the discount, he would have earned a profit of 26%. What is the cost price (in Rs.) of the item?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3 i.e. 500.
Let list price = x
After 18% discount: 0.82x = 516.60
x = 516.60 ÷ 0.82 = 630
Without discount, SP = 630
630= 1.26 × CP
CP = 630 ÷ 1.26 = ₹500