106k views
3 votes
A buys a bicycle at a certain price, then sells it to B at a profit of 40%. Then B sells it to C and incurs a 40% loss. If C pays Rs. 4200 for it, how much would A have bought the bicycle for?

1 Answer

3 votes

Final answer:

To find the price at which A bought the bicycle, we reverse the transactions. After calculating the selling prices at each stage, we deduce that A must have bought the bicycle for Rs. 5000.

Step-by-step explanation:

To solve this problem, we need to work backward from the price C paid to find out the original price A paid for the bicycle. C paid Rs. 4200 to B after B incurred a 40% loss. This means that Rs. 4200 is 60% of the price B sold the bicycle for, since 100% - 40% loss = 60% remaining.

We can calculate the price B sold the bicycle for using the following equation:

0.60 * (Price B sold it for) = Rs. 4200

(Price B sold it for) = Rs. 4200 / 0.60

(Price B sold it for) = Rs. 7000

Now, we know B originally purchased the bicycle at a 40% profit, which implies that Rs. 7000 is 140% of the price A sold it to B for. To find the price A sold it for, we have:

1.40 * (Price A sold it for) = Rs. 7000

(Price A sold it for) = Rs. 7000 / 1.40

(Price A sold it for) = Rs. 5000

Therefore, A must have bought the bicycle at Rs. 5000.

User Steve Goodman
by
8.8k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.