After allowing a discount of 12% on its marked price, the selling price of a mobile phone is Rs. 22,352. If no discount is allowed, then the shopkeeper gains 25%. The cost price of the mobile phone is:
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. Rs. 20,320
Given that
The selling price of a mobile phone is Rs. 22,352.
Discount given: 12%
If no discount is allowed, then the shopkeeper gains 25%
Formula used
Marked price = Selling price × 100/(100 - D)
Calculation
Marked price = 22352 × 100/(100 - 12) = 22352 × 100/88 = Rs. 25400
Now, discount is not given then it sell it at marked price
Cost price = 25400 × 100/(100 + 25)
C.P. = 25400 × 100/125 = Rs. 20320