Priya allows 5 percent discount on the marked price of her goods and still earns a profit of 18 percent. What is the cost price of an item, if its marked price is Rs. 944?
Show answer & explanation
Correct answer: C
Explanation
The Correct answer is option 3 i.e. Rs. 760
Given that
Discount %= 5%
Profit % = 18%
M.P. = Rs. 944
Formula used
C.P./M.P. = (100 - D)/(100 + P)
Calculation
C.P./944 = (100 - 5)/(100 + 18) = 95/118
C.P. = 944 × (95/118) = Rs. 760