Q. A person bought a car and sold it for Rs. 3, 00,000. If he incurred a loss of 20%, then how much did he spend to buy the car?
(a) Rs. 3,60,000
(b) Rs. 3,65,000
(c) Rs. 3,70,000
(d) Rs. 3,75,000
Correct Answer: (d) Rs. 3,75,000
Question from UPSC Prelims 2020 CSAT Paper
Explanation :
A person bought a car and sold it for 3 lakh
Given Information:
– Selling Price (SP) = Rs. 3,00,000
– Loss = 20%
– Therefore, SP = 80% of Cost Price
Solution:
1. Let Cost Price = x
2. We can write:
80% of x = 3,00,000
0.8x = 3,00,000
3. Solving for x:
x = 3,00,000/0.8
x = Rs. 3,75,000
Conclusion: The Cost Price of the car was Rs. 3,75,000. Therefore, answer is (d): Rs. 3,75,000
