Question

The buying rate and selling rate of Australian dollar in a bank are Rs.132 and Rs 132.85 respectively.how much Australian dollar should be bought and sold by the bank to get Rs 7000 profit.find it.

Answer 1

Let x be the amount of Australian dollars the bank buys and sells.

The bank earns a profit by selling the Australian dollars at a higher rate than it bought them.

Profit = Selling rate - Buying rate

Profit per unit = Selling rate - Buying rate = Rs.132.85 - Rs.132 = Rs.0.85

To earn a profit of Rs. 7000, the bank must sell x Australian dollars at a profit of Rs.0.85 per unit, so:

Profit = x * 0.85

x = Profit / 0.85

x = 7000 / 0.85

x = 8235.29

Therefore, the bank should buy and sell 8235.29 Australian dollars to earn a profit of Rs.7000.