ii. A machine is sold for 7,000/-. The gross loss is 20% of the cost. What are the cost and gross loss?

Given:

Selling price of a machine = 7000/-

Gross loss = 20%.

To find:

The cost and gross loss.

Solution:

Let x be the cost of machine.

According to the question,

Divide both sides by 0.8.

So, the cost of the machine is 8750/-.

Now,

Therefore, the gross loss is 1750/-.