Ram purchases two watches for Rs. 3,500. By selling one watch at a profit of 25 percent and the other at a loss of 10 percent he neither earns profit nor suffers loss in the whole transaction. What is the cost price of each watch?

1
Rs. 1500 and Rs. 2000
2
Rs. 1500 and Rs. 1720
3
Rs. 1000 and Rs. 2500
4
Rs. 1250 and Rs. 2250

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