Question

What is the cost price of an article which is sold for rs 300
at a profit of 20%?

Answer 1

250

Explanation:

(1 + p)c = sales price

c = 300/(1+ 0.2) = 300/1.2 = 250

A way to think of it (which is in the math) is: "what number, if I take 20% more of it, equals 300?"

0.2 is the percent more of it.

And the 1 is because you have to keep the original number also.

Like this:

0.2c + c = sales price

(0.2 + 1)c --> 1.2c