If the price of tyres goes up by 25% by what amount should be sale price be increased to maintain the amount of profit ? When the manufacturing cost is Rs.100000 .

Options

A. Rs. 750
B. Rs. 2250
C. Rs. 3750
D. Rs. 375

Answer

A

Explanation

Price of tyres `=(20xx1,00,000)/(100)xx(15)/(100)=3000`
Increased price of tyres `=3000xx(125)/(100)=3750`
`:.` Price should be increased =3750-3000=RS750