(1) Let C.P. = x, Profit = .40x, Asking Price(A.P.) = 1.40x
But AP reduced by 10% = New AP = 0.90 X 1.40x => 1.26x
So, with new AP, Profit reduced to 26% because CP is constant and AP decreases.
SO, 403 = 0.26x --> x = 1550
So, A is Sufficient
( 2) there is "initially" word given in the Q, and nothing is given if the initial asking price and final selling price are same. I think we can't consider them equal. So, this will be insufficient.
SO, IMO = A
Quote:
Originally Posted by nemo1
cud anybody help me out with this one(along with the explanations), please?
A jewelry dealer initially offered a bracelet for sale at an asking price that would give a profit to the dealer of 40 percent of the original cost. What was the original cost of the bracelet?
(1) After reducing this asking price by 10 percent, the jewelry dealer sold the bracelet at a profit of $403.
(2) The jewelery dealer sold the bracelet for $1,953.
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