Answer:
$6,300
Explanation:
Step 1
Find the Cost Price of the books
A trader purchased 1,000 books at the rate of $5.40 per book
This is calculated as:
If 1 book = $5.40
1000 books = ???
We cross multiply
1000 books × $5.40
= $5,400
He bought 1000 books for $5,400
His total cost price = Transportation + Cost of books
Transportation = $200
Cost price = $5,400 + $200
= $5,600
Step 2
Find the profit he made from the sale of the books
Percentage profit = Profit / Cost price × 100
Percentage profit = 12.5%
Cost price = $5,600
We have :
12.5 = Profit/ $5,600 × 100
12.5 = (100 × Profit)/ $5,600
Cross multiply
12.5 × $5,600 = 100 × Profit
Divide both sides by 100
(12.5 × $5,600) ÷ 100 = Profit
Profit = $700.
Step 3
Find the selling price
The Formula to calculate Selling Price is given as:
Selling price = Cost Price + Profit
Selling price = $5,600 + $700
Selling price = $6,300