An electronics dealer marks an item 60% above cost and offers a festival discount of 25%, plus a cashback of Rs. 300 on the final selling price. If he still makes a 10% profit, what is the cost price?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. Rs. 3000.
Let CP = x
MP = 1.6x
SP after discount = 0.75 × 1.6x = 1.2x
Final SP = 1.2x – 300
If profit 10% ⇒ SP = 1.1x
So 1.2x – 300 = 1.1x
⇒ 0.1x = 300
⇒ x = 3000