By selling a CPU for Rs.7015, a man makes a profit of 15%. At what price should he sell it to make a profit of 25%? (in Rs.)

Appeared in: RRB Nsg. Superintendent-21 July 2019 (Shift-2nd)

Explanation

The first step is to determine the original Cost Price (CP) of the CPU. Given a selling price of Rs. 7015 with a 15% profit, the CP is calculated as Rs. 7015 / 1.15 = Rs. 6100.
The second step is to calculate the new selling price to achieve a 25% profit on the calculated Cost Price.
The new Selling Price (SP) is calculated as CP × (1 + Desired Profit Percentage), which is Rs. 6100 × 1.25 = Rs. 7625.

Option B: This value is incorrect. It may arise from a miscalculation when determining the new selling price from the cost price of Rs. 6100.
Option C: This value is incorrect. It does not correspond to a 25% profit on the calculated cost price.
Option D: This value is incorrect. It might be the result of a calculation error, such as adding the profit margin incorrectly.

Visual 1: Flowchart - A flowchart illustrating the two-step process: 1. Use initial SP and Profit% to find CP. 2. Use CP and new Profit% to find the new SP.

Clinical Relevance

Nursing practice connection: This is primarily an exam-oriented knowledge point with limited direct bedside application, so retain Calculating Selling Price for a desired profit percentage based on a previous sale as background academic context rather than a clinical decision trigger.
This problem tests the fundamental concept that profit and loss are always calculated on the Cost Price, not the Selling Price.
A quick method is to use ratios: New SP = Old SP × (100 + New Profit%) / (100 + Old Profit%). Here, New SP = 7015 × 125 / 115 = 7625.
What if the question asked for the price to make a 10% loss? The new SP would be CP × (1 - Loss%) = 6100 × 0.90 = Rs. 5490.

How to Approach the Question

Identify the given information: Initial Selling Price (SP1 = Rs. 7015) and Initial Profit (15%).
Recognize the goal: Find the new Selling Price (SP2) for a different profit margin (25%).
Understand the core relationship: SP = CP × (1 + Profit%/100). The Cost Price (CP) is the constant link between the two scenarios.
Step 1: Rearrange the formula to find the CP: CP = SP1 / (1 + Profit1%/100).
Step 2: Use the calculated CP to find the new SP: SP2 = CP × (1 + Profit2%/100).
Perform the calculations carefully to arrive at the final answer and select the matching option.

Concept Tested & Keywords

Concept Tested: Calculating Selling Price for a desired profit percentage based on a previous sale.
Stem keywords: CPU, Selling Price, Profit Percentage, Cost Price
Lead-in keywords: At what price

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Practise the full RRB Nsg. Superintendent-21 July 2019 (Shift-2nd)

Attempt every question from this paper in a timed mock, then review the full solution for each one.