If the total cost of a dish is ₦1,200 and 40% gross profit is to be maintained, the dish must be sold at

Answer Details

To find the selling price of the dish, we need to add the desired gross profit to the cost of the dish.
If the cost of the dish is ₦1,200 and the desired gross profit is 40%, then the gross profit amount would be:
Gross Profit = 40% of ₦1,200
Gross Profit = 0.4 x ₦1,200
Gross Profit = ₦480
To maintain a 40% gross profit, we need to add this amount to the cost of the dish:
Selling Price = Cost + Gross Profit
Selling Price = ₦1,200 + ₦480
Selling Price = ₦1,680
Therefore, the dish must be sold at ₦1,680 to maintain a 40% gross profit.
So the option that shows the selling price of ₦1,680 is the correct answer.