Question

A dealer buys an article listed as Rs.3000 at successive discounts of 15% and 20%. Find the price at which he should sell the article so as to make a profit of 25%.

• A. Rs. 2448
• B. Rs. 2500
• C. Rs. 2550
• D. Rs. 2750
• E. Rs. 2844

Answer 1

The Correct Option is C

Step 1: Understand the problem.
The dealer buys an article listed at Rs. 3000 and receives successive discounts of 15% and 20%. The dealer wants to make a profit of 25% on the article. We need to find the price at which he should sell the article to achieve this profit.

Step 2: Calculate the price after successive discounts.
The listed price of the article is Rs. 3000.
- First, apply the 15% discount:
Price after 15% discount = \( 3000 \times \left(1 - \frac{15}{100}\right) = 3000 \times 0.85 = 2550 \) Rs.
- Next, apply the 20% discount on the reduced price:
Price after 20% discount = \( 2550 \times \left(1 - \frac{20}{100}\right) = 2550 \times 0.80 = 2040 \) Rs.

Step 3: Calculate the selling price for a 25% profit.
The dealer wants to make a profit of 25% on the cost price, which is Rs. 2040 (the price at which the dealer bought the article after discounts).
Selling price = \( \text{Cost price} \times \left(1 + \frac{25}{100}\right) = 2040 \times 1.25 = 2550 \) Rs.

Step 4: Conclusion.
The dealer should sell the article at Rs. 2550 to make a profit of 25%.

Final Answer:
The correct option is (C): Rs. 2550.