Rama sold a car costing ₹4,00,000 to Sansar at a loss of 20%. What is the selling price (in ₹)?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is Option 2 i.e. 3,20,000.
Cost Price (CP) of the car = ₹4,00,000
Loss Percentage = 20%
Selling Price (SP) = CP - Loss
Loss = (Loss Percentage × CP) / 100
Loss = (20% × ₹4,00,000) / 100
⇒ Loss = (20 × 4,00,000) / 100
⇒ Loss = 80,000
SP = ₹4,00,000 - ₹80,000
⇒ SP = ₹3,20,000