A book sells for Tk. This price gives the seller a profit of 30% on his cost. What will be the new selling price if he cuts profit to 10% of its cost?

A book sells for Tk. This price gives the seller a profit of 30% on his cost. What will be the new selling price if he cuts profit to 10% of its cost?

A 45

B 50

C 55

D 60

Solution

Correct Answer: Option C

cost = x tk

profit = 30% of x = .3x

Selling price = cost + profit

65 = x + .3x

1.3x = 65

x = 50

If profit is 10%, selling price is 1.1x

So, 1.1x = 50X1.1= 55