1.  If 5500 copies are published and the transportation cost on them amounts to Rs. 82,500, then what should be the selling price of the book so that the publisher can earn a profit of 25% ?

A. Rs. 187.50
B. Rs. 191.50
C. Rs. 175
D. Rs. 180

Answer: Option A

Explanation:

For the publisher to earn a profit of 25%,
S.P. = 125% of C.P.
Also Transportation Cost = 10% of C.P.
Let the S.P. of 5500 books be Rs X.
Then, 10 : 125 = 82500 : X
 X = Rs.  125 x 82500 / 10 
         = Rs. 1031250.
S.P. of one book :
 =  Rs.  1031250 / 5500 
=  Rs.  187.50