1.

A shopkeeper makes a profit of 20% by selling an item at a certain rate. If he charges `8 more on each item, he earns a profit of 60%. What is the cost price of the item ?

Answer»

Rs. 20



Let the COST price be Rs. x.
INITIAL selling price will be X x 120/100 = 6x/5
Now, if he CHARGES Rs. 8 more, then 
6x/5 + 8 = X x 160/100 = 8x/5
6x + 40 = 8x
∴ 2x = 40,
 IE x=20



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