Explanation:

- The ratio of Marked Price (MP) to Selling Price (SP) is given as 8:7. This means \( \text{MP} = \frac{8}{7} \times \text{SP} \).

- The article is sold at a 40% profit, implying \( \text{SP} = 1.4 \times \text{Cost Price (CP)} \).

- Additionally, the SP is Rs. 200 more than the CP, translating to \( \text{SP} = \text{CP} + 200 \).

- Set up the equation \( 1.4 \times \text{CP} = \text{CP} + 200 \).

- Solve for CP:

$$

1.4 \times \text{CP} = \text{CP} + 200 \implies 0.4 \times \text{CP} = 200 \implies \text{CP} = \frac{200}{0.4} = 500

$$

- The cost price is Rs. 500.

- Check the available options: The correct choice is Option 5: Rs. 500.

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