Question

(i) selling price (ii) cost price. 10. By selling an article for 1600, a shopkeeper loses 20%. For how much should he sell it to gain 20%?​

Answer 1

To find out for how much the shopkeeper should sell the article to gain 20%, we can use the following steps:

1. First, let's determine the cost price (CP) of the article.

2. Then, we'll calculate the selling price (SP) needed to gain a 20% profit.

Given that the shopkeeper initially sells the article for $1600 and incurs a 20% loss, we can find the cost price (CP) using the formula:

CP = SP / (1 - Loss Percentage)

CP = $1600 / (1 - 20%) = $1600 / 0.8 = $2000

So, the cost price (CP) of the article is $2000.

Now, to find the selling price (SP) needed to gain a 20% profit, we can use the formula:

SP = CP + Profit Percentage * CP

SP = $2000 + 20% * $2000 = $2000 + $400 = $2400

The shopkeeper should sell the article for $2400 to gain a 20% profit.