A merchant earns a profit of 20% by selling a basket containing 80 apples which cost Rs. 240. But he gives one-fourth of it to his friend at cost price and sells the remaining apples. In order to earn the same profit, at what price must he sell each apple ?

• A. Rs. 3.00
• B. Rs. 3.60
• C. Rs. 3.80
• D. Rs. 4.80