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Question:

A milkman sold two of his buffaloes for Rs. 20,000 each. On one he made a gain of 5%

Solution:

Sp of buffalo1=Rs20,000
Gain=5%
Let cp of buffalo1 be x
Then, x+5% of x=20000
x+0.05x=20000
1.05x=20000
x=20000/1.05
x=19047.62
Cp=Rs19047.62
Gain=20000-19047.62=952.38