A dealer is selling an article at a discount of 5% on the Marked price. If the Marked price is 12% above the cost price and the article was sold for Rs.532 then the cost price is (in Rs.)

Options

A. 500
B. 525
C. 505
D. 520

Answer

To find the cost price of the article, we can follow these steps:

### Step 1: Define Variables
Let the Cost Price (CP) be \( x \).

### Step 2: Calculate Marked Price (MP)
The Marked Price (MP) is given to be 12% above the Cost Price. Therefore, we can express the Marked Price as:
\[ MP = x + 0.12x = 1.12x \]

### Step 3: Calculate Selling Price (SP) after Discount
The dealer sells the article at a discount of 5% on the Marked Price. The Selling Price (SP) can be calculated as:
\[ SP = MP - (5\% \text{ of } MP) = MP \times \left(1 - \frac{5}{100}\right) = MP \times 0.95 \]
Substituting the expression for MP:
\[ SP = 1.12x \times 0.95 = 1.064x \]

### Step 4: Set up the equation with the Selling Price
According to the problem, the Selling Price is Rs. 532. Therefore, we can set up the equation:
\[ 1.064x = 532 \]

### Step 5: Solve for Cost Price (CP)
To find \( x \), we rearrange the equation:
\[ x = \frac{532}{1.064} \]
Calculating this gives:
\[ x \approx 500 \]

### Conclusion
The Cost Price (CP) of the article is Rs. 500.

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