A watch passes through three hands and each person gains 25%

A watch passes through three hands and each person gains 25%. If the third person sells it for $62.50, what did the first person pay for it?

This problem repeats another one in the library (at most with different numbers), so it's left out of browsing.

AQuA-RAT — Algebra Question Answering with Rationales (Ling et al., DeepMind, 2017) · train #35287