1. **Problem Statement:** Sohanlal purchased 120 reams of paper at 100 per ream. The transport cost was 480, octroi duty was 0.50 per ream, and coolie charges were 60. We need to find the selling price per ream to gain 20% profit. 2. **Formula:** Cost Price (CP) per ream including all expenses = Purchase price + Transport cost + Octroi duty + Coolie charges Selling Price (SP) = CP \times (1 + Profit%) 3. **Calculate total purchase cost:** Purchase cost = 120 \times 100 = 12000 4. **Add transport cost:** Total cost including transport = 12000 + 480 = 12480 5. **Calculate octroi duty total:** Octroi duty = 0.50 \times 120 = 60 6. **Add coolie charges:** Coolie charges = 60 7. **Total cost price:** Total CP = 12480 + 60 + 60 = 12600 8. **Cost price per ream:** CP per ream = \frac{12600}{120} = 105 9. **Calculate selling price for 20% profit:** SP = 105 \times (1 + 0.20) = 105 \times 1.20 = 126 10. **Answer:** The selling price per ream should be 126. Hence, the correct option is (1) Rs.126.