Question : A man bought a horse and a carriage for Rs. 40,000. He sold the horse at a gain of 10% and the carriage at a loss of 5%. He gained 1% on his whole transaction. The cost price of the horse was:
Option 1: Rs. 15,000
Option 2: Rs. 16,000
Option 3: Rs. 18,000
Option 4: Rs. 20,000
Correct Answer: Rs. 16,000
Solution :
Let the cost price of the horse as
Given that the man bought a horse and a carriage for
The man sold the horse at a gain of
Also, he sold the carriage at a loss of
Given that he gained
The total selling price
From equation (i),
Substituting this into the second equation,
Hence, the correct answer is Rs. 16,000.