Mo2men wrote:
A dishonest milkman mixes water and milk and claims to sell the milk at cost price, thereby making a profit of 25%. How much water is there in one litre that he delivers to the customers?
A)200 ml
B)250 ml
C)166.66 ml
D)180 ml
E) 320 ml
Let the cost per ml = $1, implying that the milkman sells the 1000-ml mixture for $1000.
For every $4 in cost, the milkman must make $1 in profit -- a profit of 25% -- yielding a selling price of $5.
Implication:
Of every $5 in the selling price, $4 = cost, $1 = profit.
Since the cost is equal to 4/5 of the selling price, we get:
Cost = (4/5)(1000) = $800, profit = 1000-800 = $200.
Thus, the 1000-ml mixture is composed of 800 ml of milk (at a cost of $800) and 200 ml of water (at a cost of $0).
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