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The marked price of an article is Rs. 20...

The marked price of an article is Rs. 200. A discount of `12(1)/(2)%` is allowed on the marked price and a profit of `25%` is made. What is the cost price of the article ?

A

Rs. 120

B

Rs. 140

C

Rs. 160

D

Rs. 180

Text Solution

AI Generated Solution

The correct Answer is:
To find the cost price of the article, we can follow these steps: ### Step 1: Calculate the Discount Amount The marked price (MP) of the article is Rs. 200, and the discount is 12.5%. To calculate the discount amount: \[ \text{Discount} = \text{Marked Price} \times \left(\frac{\text{Discount Percentage}}{100}\right) \] \[ \text{Discount} = 200 \times \left(\frac{12.5}{100}\right) = 200 \times 0.125 = 25 \] ### Step 2: Calculate the Selling Price The selling price (SP) can be calculated by subtracting the discount from the marked price: \[ \text{Selling Price} = \text{Marked Price} - \text{Discount} \] \[ \text{Selling Price} = 200 - 25 = 175 \] ### Step 3: Calculate the Cost Price We know that the selling price is also related to the cost price (CP) through the profit percentage. Given that the profit is 25%, we can express the selling price in terms of the cost price: \[ \text{Selling Price} = \text{Cost Price} + \text{Profit} \] \[ \text{Profit} = \text{Cost Price} \times \left(\frac{25}{100}\right) = 0.25 \times \text{Cost Price} \] Thus, \[ \text{Selling Price} = \text{Cost Price} + 0.25 \times \text{Cost Price} = 1.25 \times \text{Cost Price} \] Now, we can substitute the selling price we calculated: \[ 175 = 1.25 \times \text{Cost Price} \] ### Step 4: Solve for Cost Price To find the cost price, we can rearrange the equation: \[ \text{Cost Price} = \frac{175}{1.25} \] Calculating this gives: \[ \text{Cost Price} = 140 \] ### Final Answer The cost price of the article is Rs. 140. ---
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