Suresh bought a cell phone from a shop. If he sells it at Rs. 8400 to Mahesh and earns a profit of 12%, find the price at which Suresh bought the cell phone.

Options

A. Rs.7500
B. Rs.7350
C. Rs.7250
D. Rs.7100

Answer

To find the price at which Suresh bought the cell phone, we can use the formula for Cost Price (CP) when the Selling Price (SP) and Profit Percentage are known.

### Step-by-Step Solution:

1. **Identify the given values:**
- Selling Price (SP) = Rs. 8400
- Profit Percentage = 12%

2. **Use the formula for Cost Price (CP):**
The formula to calculate the Cost Price when the Selling Price and Profit Percentage are known is:
\[ CP = \frac{100}{100 + \text{Profit Percentage}} \times SP \]

3. **Substitute the values into the formula:**
\[ CP = \frac{100}{100 + 12} \times 8400 \]
\[ CP = \frac{100}{112} \times 8400 \]

4. **Calculate the fraction:**
\[ CP = \frac{100 \times 8400}{112} \]

5. **Simplify the fraction:**
- First, calculate \( 100 \times 8400 = 840000 \).
- Now divide by 112:
\[ CP = \frac{840000}{112} \]

6. **Perform the division:**
\[ CP = 7500 \]

7. **Conclusion:**
The Cost Price (CP) at which Suresh bought the cell phone is Rs. 7500.

### Final Answer:
Suresh bought the cell phone for Rs. 7500.

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