Both A and B sell their watch at the rate of Rs. 5000 per watch. A earned a profit of 25 percent while B incurred a loss of 10 percent. What is the ratio of cost prices of A and B?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 18:25.
Given that
The selling price of each watch is = 5000
Let the cost price to A be given by 'a' and the cost price to B be given by 'b'
A gains = 25%
The S.P of A is given by ⇒ 5000 = × a
Hence, a = 5000 ×
B losses = 10%
The S.P of B is given by ⇒ 5000 = × b
Hence, b = 5000 ×
The required ratio is given by = × = 18 : 25
Hence, the ratio of cost prices of A and B is 18 : 25