Bosun bought goods worth N500 and sold it at a margin of 20% on selling price. For how much did he sell the goods?

Bosun bought goods worth N500 and sold it at a margin of 20% on selling price. For how much did he sell the goods?

Answer Details

Bosun bought goods for N500 and wants to sell them at a margin of 20% on the selling price. To calculate the selling price, we need to add the margin to the cost price: Selling price = Cost price + Margin where the margin is calculated as a percentage of the selling price. Let's assume that the selling price is SP. Then, we have: SP = 500 + 20% of SP Simplifying this equation, we get: SP = 500 + 0.2SP Subtracting 0.2SP from both sides, we get: 0.8SP = 500 Dividing both sides by 0.8, we get: SP = 625 Therefore, Bosun sold the goods for N625. This is option E.