1) Cost Price (CP) is the cost at which an article is purchased. Profit or loss is always on
Cost Price.2) Marked Price (MP) is the price at which an article is listed. Discount is offered on Marked
Price.3) Selling Price (SP) is the price at which an article is sold after giving the discount.4) where p is the percentage profit.5) where p is the loss in percent.6) If SP > CP then we have profit.Profit = SP - CP. 7) If SP < CP then we have loss.Loss = CP - SP. ## Download: Practice Questions on Profit and Loss Profit and loss are always calculated on cost price
unless otherwise stated in the question.## NOTE:If an article is sold at a certain gain (say 25%) then SP = 1.25 CP If an article is sold at a certain loss (say 20%) then SP = 0.8 CP 8) 9) 10) If CP of 2 articles is same, and one of them is sold at a profit of p% and other article is sold
at a loss of p% then net transaction has no profit (0% profit).Example: A man sold 2 radios for Rs 2000 each. On one he gained 16% and on the other he loses 16%. Find the
gain or loss per cent in the whole transaction. Solution: Here p = 16% Loss % = (16/10) ^{2} = 2.56%11) If SP of 2 articles is same (Rs y), and one of them is sold at a profit of p% and other article is
sold at a loss of p% then net transaction has a loss of
. Absolute Value of the loss is
12) If a trader professes to sell his goods at cost price, but uses false weights, then
Example: A dishonest dealer professes to sell his goods at cost price but he uses a weight of 930 g for 1
Kg weight. Find his gain per cent.Solution: Here gain is 70 gm on 930 gm. Gain % = (70/930)100% = 7.53% Method 2: Use the formula specified above.Error = 70, True value = 1000 Gain % = (70/(1000-70))100% = 7.53% |