Offei, a petty trader sold goods for GH¢36,240. The gross profit being 33\(\frac{1}{3}\)% on cost. What was the cost price?
GH¢45,300
GH¢28,992
GH¢27,180
GH¢24,160
Correct answer is C
Cost price = total sales - profit To begin, we will first have to convert the gross profit to margin. Hence we have; 33\(\frac{1}{3} = \frac{100}{3} \times \frac{1}{100}\) Cross multiply \(\frac{1}{3} + 1 = \frac{1}{4}\) \(\frac{1}{4}\) x 36,240 = 9060 Cost price = 36,240 - 9060 = 27,180