Q:
John sells his laptop to Mark at a loss of 20% who subsequently sells it to Kevin at a profit of 25%. Kevin after finding some defect in the laptop, returns it to Mark but could recover only Rs.4.50 for every Rs. 5 he had paid. Find the amount of Kevin’s loss if John had paid Rs. 1,75,000 for the laptop ?
Answer & Explanation
Answer: B) Rs.17,500
Explanation: Let’s assume John bought the laptop for Rs. 100
He then sells it to Mark at a loss of 20% => Rs. 80,
Who consequently sells it to Kevin at a profit of 25% => Rs. 100
Then, Kevin sells it back to Mark for Rs. 90 (Rs.4.50 for every Rs. 5 that he had paid initially), so he suffers a loss of Rs. 10
Therefore, for Rs. 100 there is a loss of Rs. 10,
Then for Rs. 1,75,000 there will be a loss of Rs. 17,500.
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