A woman purchased a used car for $6000 She decided to sell the car for 40% above her purchase price. She could not sell the car so she reducedher asking price by 40% If she sells the car at the reduced price, will she have a profit or a loss or will she break even?
Accepted Solution
A:
Answer:loss by $960Step-by-step explanation:The purchase price of the car = $6000 ----------(A)The percentage increment = 40%Hence increment = 40% of $6000= 0.40 x $6000=$2400Hence New Selling price for the lady = $6000+$2400= $8400now as she was unable to sell the ca at this price. The price was educed by 40%Hence reduced price = 40% of new selling price =40% of $8400=0.40 x $8400=$3360Hence Final Selling price = $8400 - $3360= $5040 -----------(B)Since (A) > (B)Purchase price is bigger than the final sold price Thee will be loss by $6000-$5040= $960