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A sells a watch to B at a profit of 20% and B sells it to C at a loss of 10%. If C pays Rs. 432, how much did A pay for it?

A sells a watch to B at a profit of 20% and B sells it to C at a loss of 10%. If C pays Rs. 432, how much did A pay for it? Correct Answer Rs. 400

Given-

A sells a watch to B at a profit of 20%

B sells it to C at a loss of 10%

Formula Used-

Profit% = (CP - SP)/CP × 100       

Loss% = (SP - CP)/CP × 100      

Calculation-

Let the price at which A buys the watch is 100x.

A sells the watch to B at 100x(1 + 20%)

⇒ 120x

B sells the watch to C at 120x(1 - 10%)

⇒ 108x

According to Question -

108x = 432

⇒ x = 4

⇒ 100x = 400

∴ A paid Rs. 400 for the watch.

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