CAT 2017 Slot 2 QA Question & Solution

ArithmeticEasy

Question

The manufacturer of a table sells it to a wholesale dealer at a profit of 10%. The wholesale dealer sells the table to a retailer at a profit of 30% Finally, the retailer sells it to a customer at a profit of 50%. If the customer pays Rs 4290 for the table, then its manufacturing cost (in Rs) is

Options

1500

2000

2500

3000

Solution

Let the manufacturing price of the table = $x$
Hence the price at which the wholesaler bought from the manufacturer = $1.1 \times x$
The price at which the retailer bought from the wholesaler = $1.3 \times 1.1 \times x$
The price at which the customer bought from the retailer = $1.5 \times 1.3 \times 1.1 \times x$
$1.5 \times 1.3 \times 1.1 \times x = 4290$
=> x = 2000