The ratio of cost price (CP) and marked price (MP) of an article is 4 ∶ 7. A discount of 20% is given on MP and the shopkeeper made a profit of 80. Find the CP of the article.

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SSC CHSL Exam 2023 Tier-I Official Paper (Held On: 02 Aug, 2023 Shift 4)
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  1. ₹190
  2. ₹170
  3. ₹200
  4. ₹180

Answer (Detailed Solution Below)

Option 3 : ₹200
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SSC CHSL Exam 2023 Tier-I Official Paper (Held On: 02 Aug 2023 Shift 1)
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100 Questions 200 Marks 60 Mins

Detailed Solution

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Given:

Cost price (CP) : marked price (MP) = 4 ∶ 7.  discount = 20%, profit = 80.

Concept used: 

The discount is calculated on market price while profit is calculated on cost price.

Calculation:

Let the cost price is 40 then market price is 70

After discount the selling price = 70 - 70/5 

⇒ 70 - 14 = 56

Profit will be 56 - 40 = 16

As per the question,

 Value of 16 units = 80 

So 1 unit = 80 /16 = 5

Then 40 units = 40 × 5 = 200

∴ The correct option is 3

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