Question

Indrajit bought 10 refrigerators at Rs 12000 each and spent Rs 5000 on transport. For how much should he sell each refrigerator in order to make a profit of Rs 20000?

Answer 1

Cost price of 1 refrigerator = Rs 12000 

Cost price of 10 refrigerator = 10 x 12000 = Rs 120000 

Transportation cost = Rs 5000 

∴ Total cost price of 10 refrigerators = Cost price of 10 refrigerators + Transportation cost 

= 120000 + 5000 = Rs 125000 

Profit = Rs 20000 

Profit = Selling Price – Total Cost Price 

∴ Required selling price = Total cost price + Profit 

= 125000 + 20000 = Rs 145000

∴ Selling price of 10 refrigerators = Rs 145000

∴ Selling price of 1 refrigerator = \(\cfrac{145000}{10}\) = = Rs 14500

∴ Indrajit must sell each refrigerator at Rs 14500 to make a profit of Rs 20000.