Equal profit–loss from two selling prices Selling at Rs 425 gives the same profit as the loss when selling at Rs 355. What is the cost price?

Aptitude Profit and Loss Difficulty: Easy
Choose an option
  • A
    Rs 385
  • B
    Rs 390
  • C
    Rs 395
  • D
    Rs 400
  • E
    Rs 405

Answer

Correct Answer: Rs 390

Explanation

Introduction / Context:When profit from one selling price equals loss from another, the cost price lies exactly midway between those selling prices. We can also show this algebraically.

Given Data / Assumptions:

  • Profit at SP1 = Rs 425 equals loss at SP2 = Rs 355.
  • Find cost price (CP).

Concept / Approach:If 425 - CP = CP - 355, then CP is the average of 425 and 355. Solve directly or via averages.

Step-by-Step Solution:Set 425 - CP = CP - 355.2 × CP = 425 + 355 = 780.CP = 780 / 2 = 390.

Verification / Alternative check:Profit at 425: 425 - 390 = 35. Loss at 355: 390 - 355 = 35. Equal as given.

Why Other Options Are Wrong:385 or 395 breaks the equality; 400 and 405 give unequal profit and loss.

Common Pitfalls:Adding instead of averaging, or mixing up which side is profit or loss.

Final Answer:Rs 390

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