Amit bought a piano and sold it to Gopal at a profit of 5%. Gopal sold it to Akshay at a loss of 25%. If Akshay paid ₹1890, then the cost price (in ₹) of the piano Amit bought is :
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3 i.e. 2400.
Let Amit's cost price be x
Amit sells to Gopal at 5% profit → Gopal's cost price = x × 1.05
Gopal sells to Akshay at 25% loss → Akshay's price = (x × 1.05) × 0.75 = 1890
So: x × 1.05 × 0.75 = 1890
x × 0.7875 = 1890
x = 1890 ÷ 0.7875 = 2400