Arjun sells a cupboard at a profit of 8%. If he had sold it for ₹120 more, his profit would have been 12%. What is the cost price?

Explanation

1. 01

   The extra ₹120 raises the profit from 8% to 12% of CP.

2. 02

   So 4% of CP = ₹120.

3. 03

   CP = $\frac{120}{4} \times 100 = 3000$, that is ₹3,000.