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A shopkeeper gains 20% in place of 16% loss if the selling price of an article is increased by ?324. The cost price of the article is:
Rs.900
Rs.750
Rs.1350
Rs.60
- When the selling price is increased by Rs.324, the shopkeeper's gain changes from a 16% loss to a 20% gain.
- Let the cost price (CP) of the article be X.
- Initially, with a 16% loss, the selling price (SP) is 0.84X.
- With a 20% gain, the selling price becomes 1.2X.
- The equation based on the increased selling price: 1.2X = 0.84X + 324.
- Solve the equation:
1.2X - 0.84X = 324
0.36X = 324
X = 324 / 0.36
X = 900
- Therefore, the correct answer is:
- Option 1: Rs.900
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