By selling a CPU for Rs.8395, 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-20 July 2019 (Shift-3rd)

Explanation

The core task is a two-step calculation common in profit and loss problems.
First, the original Cost Price (CP) must be determined from the initial Selling Price (Rs. 8395) and profit (15%). The formula is CP = SP / (1 + Profit%/100), which gives a CP of Rs. 7300.
Second, this constant Cost Price is used to find the new Selling Price needed for a 25% profit. The formula is New SP = CP * (1 + New Profit%/100).
Applying the values, the new SP is Rs. 7300 * 1.25, which equals Rs. 9125.

Option A: This value is incorrect and likely stems from a calculation error either when determining the cost price or when calculating the final selling price.
Option B: This is an incorrect value. It may arise from miscalculation or rounding errors during the two-step process.
Option C: This is a close distractor but is incorrect. Such an error could occur from a simple multiplication mistake (e.g., miscalculating 73 x 125).

Visual 1: Flowchart - A diagram showing the two-step process: Step 1) Use initial SP and Profit% to find the CP. Step 2) Use the calculated CP and the new Profit% to find the final SP.

Clinical Relevance

Nursing practice connection: This is primarily an exam-oriented knowledge point with limited direct bedside application, so retain Calculating Selling Price based on changing Profit Percentages as background academic context rather than a clinical decision trigger.
This is a quantitative aptitude question testing mathematical skills, not a clinical concept.
Proficiency in such problems is essential for the general aptitude sections of competitive nursing entrance exams.
What if the question asked for the price to make a 10% loss? You would still use the calculated CP of Rs. 7300 and apply the loss formula: New SP = 7300 * (1 - 10/100) = 7300 * 0.90 = Rs. 6570.

How to Approach the Question

First, identify all the given information: Initial Selling Price (SP1) = Rs. 8395, Initial Profit (P1) = 15%, and the desired New Profit (P2) = 25%.
Recognize that the Cost Price (CP) of the item is the constant value you need to find first.
Use the formula relating SP, CP, and Profit: SP = CP × (1 + P/100). Rearrange it to solve for CP: CP = SP / (1 + P/100).
Calculate the CP: CP = 8395 / (1 + 15/100) = 8395 / 1.15 = 7300.
Now, use the calculated CP (Rs. 7300) and the new desired profit (25%) to find the new Selling Price (SP2).
Calculate the final answer: SP2 = 7300 × (1 + 25/100) = 7300 × 1.25 = 9125.

Concept Tested & Keywords

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Practise the full RRB Nsg. Superintendent-20 July 2019 (Shift-3rd)

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