An item is sold for Rs. 135 more when its profit margin is 20% compared to when it incurs a 40% loss. Determine the original cost price of this item.
Let the cost price of the article = Rs. 100x According to the question, (100x X 1.2) - (100x X 0.6) = 135 Or, 120x - 60x = 60x = 135 So, x = 135 ÷ 60 = 2.25 And so, cost price of the article = 2.25 x 100 = Rs. 225 Hence, option d.
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