P sells a toy to Q at a profit of 40 percent and Q sells it to R at a profit of 10 percent. If R pays Rs. 539 for the toy, then what was the cost price of the toy for P?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. Rs. 350.
Let the cost price of the toy for P = 100x
Cost price of the toy for Q = 140% of 100x = 140x
Cost price of the toy for R = 110% of 140x = 154x
According to the question;
⇒ 154x = 539
⇒ x = 3.5
Hence, the cost price of the toy for P = 100x = Rs 350