A person bought a car and sold it for ₹ 3,00,000. If he incurred a loss of 20%, then how much did he spend…

A person bought a car and sold it for ₹ 3,00,000. If he incurred a loss of 20%, then how much did he spend to buy the car?
  1. ₹ 3,60,000
  2. ₹ 3,65,000
  3. ₹ 3,70,000
  4. ₹ 3,75,000

Solution

Selling price is 80% of cost price (since loss is 20%). So $0.80 \times CP = 3{,}00{,}000$, giving $CP = 3{,}00{,}000 / 0.80 = 3{,}75{,}000$. The person spent ₹ 3,75,000 to buy the car.

Asked in: CSAT 2020

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