Question

A sells to b an item at 15% profit. B sells the same item to c at 20% profit. If c pays $1656 for it. What is the price at which a bought the item?

Answer 1

The price at which A bought the item is $1200.

Explanation:

Suppose, the price at which A bought the item is
`x` dollar.

A sells the item to B at 15% profit. That means, the selling price to B
`= x+(0.15*x)=1.15x` dollar.

B sells the same item to C at 20% profit. That means, the selling price to C
`= 1.15x+(1.15x*0.20)=1.38x` dollar.

Given that, C pays $1656 for the item. So, the equation will be.......

`1.38x=1656\\ \\ x=(1656)/(1.38)=1200`

So, the price at which A bought the item is $1200.