CAT 2024 Slot 1 QA Question & Solution
ArithmeticMedium
Question
The selling price of a product is fixed to ensure 40% profit. If the product had cost 40% less and had been sold for 5 rupees less, then the resulting profit would have been 50%. The original selling price, in rupees, of the product is
Options
15
14
10
20
Solution
Let us fix the Cost Price of the product to be X, and the Selling Price of the product to be 1.4X, since it is given that it is fixed to have a profit of 40%.
If the CP has been 40% less, making the CP 0.6X,
And the selling price is 5 rupees less, making it 1.4X-5
Profit will be 50%,
So, $1.5\left(0.6X\right)=1.4X-5$
$0.9X=1.4X-5$
$0.5X=5$
$X=10$
Original selling price will be 14.