Explanation:

- Ankita sold her watch at a 5% loss which means she got less money than the actual cost price.

- If she sold it for Rs 300 more, she would have made a 5% profit.

- The difference between selling at a loss and selling with profit is Rs 300.

- Let's denote the cost price as "C".

- Selling at a loss: 0.95C

- Selling at a profit: 1.05C

- Equation: 1.05C = 0.95C + 300

- Solve for C:

$1.05C-0.95C=300$

$(0.10)C=300$

$C=3000$

- Correct selling price at 5% loss is therefore 0.95 x 3000 = Rs 2,850.

- Options given:

Option 1: Rs 2,900

Option 2: Rs 2,750

Option 3: Rs 3,000

Option 4: Rs 2,850