Profit and loss problems involves various terms like cost price, selling price, marked price etc. Basically, it is a difference between selling price and cost price. Cost price is the price paid to purchase an article or a product or we can say it is a cost incurred in manufacturing an article. Selling price is the price at which a product is sold.
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Quantitative Aptitude series
Guide to Quantitative aptitude
1) Generally, profit is calculated as:
Profit or gain = Selling price(S.P) - Cost price(C.P)
2) Similarly, Loss = Cost price - Selling price
3) Gain percentage(%) = Gain * 100
C.P.
4) Loss percentage(%) = Loss * 100
C.P.
5) There is a direct relationship between selling price and cost price:
S.P. = 100 + Gain percentage * C.P. (In case of gain)
100
S.P. = 100 - Loss percentage * C.P. (In case of loss)
100
Similarly, If an article is sold at loss of 18%, then by using second formula , you can find that S.P. is 82% of C.P.
6) If a person sells two commodities at same prices. On one he gains x% and loses x% on another, then as a whole he will be in loss and the loss percentage will be equal to:
(Common gain or loss percentage)^2 = x^2
100 10
Note: Here is an example to find gain in case of dishonesty.
Problem 1: A dishonest dealer professes to sell his goods at cost price but he uses a weigh 960 grams for 1 kg. How too calculate gain percentage?
Solution: Gain percentage = Error * 100 = 40 * 100 (Ans in %)
True value - Error 960
Must read
Quantitative Aptitude series
Guide to Quantitative aptitude
Various profit and loss formulas used in profit and loss:
1) Generally, profit is calculated as:
Profit or gain = Selling price(S.P) - Cost price(C.P)
2) Similarly, Loss = Cost price - Selling price
3) Gain percentage(%) = Gain * 100
C.P.
4) Loss percentage(%) = Loss * 100
C.P.
5) There is a direct relationship between selling price and cost price:
S.P. = 100 + Gain percentage * C.P. (In case of gain)
100
S.P. = 100 - Loss percentage * C.P. (In case of loss)
100
For Example :
If an article is sold at gain of 27%, then by using first formula , you can find that S.P. is 127% of C.P.Similarly, If an article is sold at loss of 18%, then by using second formula , you can find that S.P. is 82% of C.P.
6) If a person sells two commodities at same prices. On one he gains x% and loses x% on another, then as a whole he will be in loss and the loss percentage will be equal to:
(Common gain or loss percentage)^2 = x^2
100 10
Note: Here is an example to find gain in case of dishonesty.
Problem 1: A dishonest dealer professes to sell his goods at cost price but he uses a weigh 960 grams for 1 kg. How too calculate gain percentage?
Solution: Gain percentage = Error * 100 = 40 * 100 (Ans in %)
True value - Error 960
