2 Views

Question : A merchant purchases a wristwatch for Rs. 450 and fixes its list price in such a way that, after allowing a discount of 10%, he earns a profit of 20%. Find the list price of the watch.

Option 1: Rs. 480

Option 2: Rs. 450

Option 3: Rs. 600

Option 4: Rs. 540


Team Careers360 19th Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: Rs. 600


Solution : Cost price of the watch = Rs. 450
Profit percentage = 20%
The selling price of the watch = cost price + profit
= $450 + 20$% of $450$
= $450 + \frac{20 × 450}{100}$
= $450+\frac{9000}{100}$
= $450 + 90$
= $540$
Discount = 10%
⇒ Selling price + 10% of list price  = list price
⇒ 90% of list price = 540
⇒ List price = $\frac{540 × 100}{90}$ = Rs. $600$
Hence, the correct answer is Rs. 600.

Know More About

Related Questions

TOEFL ® Registrations 2024
Apply
Accepted by more than 11,000 universities in over 150 countries worldwide
Manipal Online M.Com Admissions
Apply
Apply for Online M.Com from Manipal University
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books