sgr21 wrote:The profit earned when an article is sold for $ 600 is double the loss incurred when the article is sold for $150. At what price should the article be sold if a profit of 20% is to be earned?
(A)$150
(B) $300
(C) $360
(D)$400
(E) $450
Let's start trying plugging in the answers, starting from [spoiler]
(C)[/spoiler] as usual:
[spoiler]
(C)[/spoiler] If the article should be sold at $360 to earn a profit of 20%, then the real cost of the article must be 5/6($360) = $300, which if sold at $600 earns a profit of $300, which is double of the loss ($150) if the same is sold at $150. Thus, [spoiler]
(C)[/spoiler] perfectly works and hence the answer.
