Question : If a stall sells a pizza at Rs. 200, he makes a 20% loss. If he wants to make a 10% profit, then at what price (in Rs.) should he sell?
Option 1: 250
Option 2: 300
Option 3: 275
Option 4: 325
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Correct Answer: 275
Solution :
Selling price = Rs. 200
Loss = 20% of cost price
Selling price = cost price – loss = cost price – 20% of cost price
⇒ Rs. 200 = 80% of cost price
⇒ Cost price = Rs. 250
Profit = 10%
⇒ Selling price = Cost price + profit
= Rs. 250 + Rs. 25 = Rs. 275
Hence, the correct answer is 275.
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