Question

when an article is sold for rs 1050, there is a loss of 12 1/2%. for a profit of 25%, it should be sold for

Answer 1

To find the selling price that results in a 25% profit after a loss of 12 1/2%, we first calculate the cost price and then use it to determine the selling price using formulas.

Step-by-step explanation:

To find the selling price at which there is a profit of 25%, we first need to calculate the cost price of the article. We know that when the article is sold for Rs 1050, there is a loss of 12 1/2%. This means the article was bought at a price higher than Rs 1050. To calculate the cost price, we can use the formula:

Cost Price = Selling Price / (1 - Loss %)

Substituting the given values, we get:

Cost Price = 1050 / (1 - 12 1/2%)

Cost Price = 1050 / (1 - 0.125)

Cost Price = 1050 / 0.875

Cost Price = Rs 1200

To calculate the selling price for a profit of 25%, we can use the formula:

Selling Price = Cost Price * (1 + Profit %)

Substituting the values, we get:

Selling Price = 1200 * (1 + 25%)

Selling Price = 1200 * 1.25

Selling Price = Rs 1500