Question

The supplier supplies cartridges to a newspaper publishing house. He earns a profit of 25% by selling cartridges for Rs.1540. Find the cost price of the cartridges?

Answer 1

Hint: In this question the selling price of the cartridge and the profit percentage is given to us. We need to find the cost price. The profit earned will always be the difference between then selling price and the cost price, and this difference should always be positive, so consider the cost price to be a variable and use the concept mentioned to get the variable.

Complete step-by-step answer:

Let the cost price of the cartridges be x Rupees.
Now it is given that the supplier earns a profit of 25% by selling cartridges for Rupees 1540.
So, construct the linear equation according to given information we have,
Therefore cost price plus 25% of cost price is equal to selling price.
$ \Rightarrow x + \dfrac{{25}}{{100}}\left( x \right) = 1540$.
Now simplify the above equation we have,
$
   \Rightarrow x + \dfrac{1}{4}\left( x \right) = 1540 \\
   \Rightarrow x\left( {\dfrac{5}{4}} \right) = 1540 \\
$
$ \Rightarrow x = \dfrac{{1540 \times 4}}{5} = 308 \times 4 = 1232$ Rupees.
So, the cost price of the cartridge is 1232 Rupees.
So, this is the required answer.

Note: Whenever we face such types of problems the key concept is to have the understanding that when the person will have a profit and under which circumstances the cost price and selling price he has to bear a loss. This understanding will help to get the right track to reach the answer.