A shopkeeper gains 20% in place of 16% loss if the selling price of an article is increased by Rs. 324. The cost price of the article is:

Question

Question

This question was previously asked in

SSC CGL 2023 Tier-I Official Paper (Held On: 14 Jul 2023 Shift 4)

Answer 1

Given:

The initial loss = 16%

Profit = 20%

The selling price of an article is increased by = Rs. 324

Formula used:

S.P. = [(100 + Profit%)/100] × C.P.

Profit% = [(S.P. - C.P.)/C.P.] × 100

Where, C.P. = Cost price; S.P. = Selling price

Calculation:

Let, the cost price = 100x

So, the selling price = 84x

The final selling price = 100x × (120/100) = 120x

⇒ 120x - 84x = 324

⇒ 36x = 324

⇒ x = 9

⇒ 100x → 9 × 100 = 900

Cost price = Rs. 900

∴ The Cost price of the article is Rs. 900

Shortcut Trick

Let the CP be 100%

Initial SP = 84%

Final SP = 120%

The gap in the two SPs is due to 324.

⇒ 36% = 324

⇒ 1%→ 9

⇒ 100%→ 900