Subject: General Aptitude · Chapter: Profit and Loss · Exam: · Marks: · Difficulty:
What was the cost price of the watch? I. The shopkeeper labelled the price of the watch 20% above the cost price. II. After allowing a discount of 15% on the labelled price, the shopkeeper charges ` 408 for the watch. III. Had there been no discount, the shopkeeper would have earned 20% profit.
(a)I, and either II or III
(b)II, and either I or III
(c)III, and either I or II
(d)I and II only
(e)Any two of the three
Answer
Answer (as printed): B
Explanation
I. Let the C.P. be ₹$x$. Then, M.P. $=120\%$ of ₹$x=₹\left(\frac{120}{100}\times x\right)=₹\frac{6x}{5}$. II. S.P. $=85\%$ of M.P. $=₹\left(\frac{6x}{5}\times\frac{85}{100}\right)=₹\frac{51x}{50}$. $$\therefore \quad \frac{51x}{50}=408 \Rightarrow x=\left(408\times\frac{50}{51}\right) \Rightarrow x=400.$$ Thus, I and II give the answer.
Explanation as extracted from the printed page; notation may be imperfect.