A Trader Frauds By 10% While Buying And 10% While Selling The Same . What Is The Total Gain He Obtained In The Transcation?
A) 13 B)22.25 C) 20 D) None Of These
I Approached In The Following Way
First I Tought The Selling Price As X
And Our Fraud Seller Will Get That For 90x/100 = .9x
And Now Our Seller Will Sell That With A Gain Of 10%
So Selling Price Now Is 110/100(.9x) = 9.9x
Then Im Not Understanding What To Do ???
March 6th 2006, 08:18 PM
Ok, this is the way I see it. If a person is buying a hot dog that is worth a dollar and he frauds the seller for 10% then he is buying the hot dot for 90 cents; a ten cent gain. he then takes that same hot dog and sells in to someone else for $1.10 a 10% fraud selling. So he has essentially gained 20 cents or 20 percent of the value of the hotdog.
March 8th 2006, 10:38 AM
I think mick1337 has the right idea but, rather, should have divided the 20 cent monetary gain into the 90 cent investment. The normal asking price of the hypothetical hotdog is irrelavant. The only pertinent data are i) amount invested and ii) selling price. Monetary gain = return - investment, 20 cents in the present case. Percentage of return = gain/investment = 2/9 or 22.2...%.
In seeking out other possibilities, we must reconsider the language of the text. In particular, what is the meaning of "defraud by 10% on selling"? Is the implication that the item was resold at 10% oboe cost, or above the regular selling price? In the former case, and again with the hot-dog, the selling price would be 110% of 90, or 99 cents. This being the case, the gain pales at 9/90 = 10% -- less than half that when premised according to our initial interpretation of the language. ...proving positive that mathematics, as with the solitary man, stands not alone as an island unto itself.