Marked price of an article is Rs 7500. It is purchased at a discount of 12%. If Rs 250 are spent on its repairs, then to gain 20% profit what should be the selling price (in Rs)?

Options

A. 7940
B. 7760
C. 8220
D. 8480

Answer

To find the selling price of the article, we will follow these steps:

### Step 1: Calculate the Discount Amount
The marked price of the article is Rs. 7500, and the discount is 12%.

\[ \text{Discount} = \frac{12}{100} \times 7500 = 900 \]

### Step 2: Calculate the Cost Price
Now, we subtract the discount from the marked price to find the cost price.

\[ \text{Cost Price} = \text{Marked Price} - \text{Discount} = 7500 - 900 = 6600 \]

### Step 3: Add Repair Costs
Next, we need to add the repair costs to the cost price. The repair cost is Rs. 250.

\[ \text{Total Cost Price} = \text{Cost Price} + \text{Repair Cost} = 6600 + 250 = 6850 \]

### Step 4: Calculate the Desired Profit
We want to gain a profit of 20% on the total cost price. First, we calculate 20% of the total cost price.

\[ \text{Profit} = \frac{20}{100} \times 6850 = 1370 \]

### Step 5: Calculate the Selling Price
Finally, we add the profit to the total cost price to find the selling price.

\[ \text{Selling Price} = \text{Total Cost Price} + \text{Profit} = 6850 + 1370 = 8220 \]

Thus, the selling price should be Rs. 8220.