Question

Ramesh buys a pen for rs 20 and sells it at 20% profit for what price should he buy it so that he can make 25% profit by selling for the same selling price​

Answer 1

CP of pen = ₹20

Profit % = 20%

Profit % = profit × 100 / CP

20 = profit × 100 / 20

20 × 20 / 100 = profit

Profit = ₹4

Profit = SP - CP

4 = SP - 20

SP = ₹24

Let new CP be ₹x

Profit % = 25%

SP = ₹24

Profit % = SP - CP

25x / 100 = 24 - x

24x / 100 + x = 24

125x / 100 = 24

5x / 4 = 24

x = 24 × 4 / 5

x = ₹ 19.20