A) 65%
B) 80%
C) 85%
D) 90%
Correct Answer: B
Solution :
Let the manufacturing cost be Rs. x. Then wholesaler's cost price \[=x+\frac{20}{100}x=Rs.\frac{6x}{5}\] Retailer s cost price \[=\frac{6x}{5}+\frac{25}{100}.\frac{6x}{5}=Rs.\frac{3x}{2}\] Finally, consumer's purchasing price \[=\frac{3x}{2}+\frac{20}{100}\times \frac{3x}{2}=Rs.\frac{9x}{5}\] Thus on the manufacturing cost of Rs. x, the consumer pays \[\left( \frac{9x}{5}-x \right)=Rs.\frac{4x}{5}\] over and above. \[\therefore \] % price paid by consumer over and above manufacturing cost \[=\frac{4x}{5}.\frac{1}{x}.100=80.\].You need to login to perform this action.
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