The cost prices of two articles are in the ratio 4 : 5. Selling the first article at 10% profit and the second at 20% profit will give the difference of Rs. 480 in their selling prices. The sum of the cost price of the two articles is:
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. Rs. 2700
Given:
The cost prices of two articles are in the ratio 4 : 5.
Selling the first article at 10% profit and the second at 20% profit will give the difference of Rs. 480 in their selling prices.
Formula used:
Selling price = Cost price + Cost price × profit% ---- (1)
Calculations:
Let the cost price of first and second article be 40x and 50x
Selling price of first article = 110% of 40x = 44x
Selling price of second article = 120% of 50x = 60x
According to the question;
Difference between their selling price = 60x - 44x
⇒ 16x = 480
⇒ x = 30
The sum of the cost price of the two articles = 40x + 50x = 90x
⇒ 90 × 30 = Rs 2700