PROFIT & LOSS

PROFIT & LOSS Important Formulas and details:

Cost Price:

The price, at which an article is purchased, is called its cost price, abbreviated as C.P.

Selling Price:

The price, at which an article is sold, is called its selling prices, abbreviated as S.P.

Profit or Gain:

If S.P. is greater than C.P., the seller is said to have a profit or gain.

Loss:

If S.P. is less than C.P., the seller is said to have incurred a loss.




Some Basic Formulas:
1. Gain = (S.P.) – (C.P.)

2. Loss or gain is always reckoned on C.P.

3. gain% = [Gain*100/C.P.]

4. Loss = (C.P.) – (S.P.)

5. Loss% = [Loss*100/C.P.]

6. S.P. = (100+Gain%)/100 * C.P.

7. S.P. = (100-Loss%)/100 * C.P.

8. C.P. = 100/(100+Gain%) * S.P.

9. C.P. = 100/(100-Loss%) * S.P.

10. If an article is sold at a gain of say, 35%, then S.P. = 135% of C.P.

11. If an article is sold at a loss of say, 35%, then S.P. = 65% of C.P.

These are basic formulas which are used to calculate profit and loss but here i provide some small and cool tricks so guys you need to remember this tricks to solve most of the problems :




TRICKS :

1. Cost Price (C.P) = 100%

2 (a). Selling Price (S.P) = C.P (100%) + Profit

2 (b). Selling Price (S.P) = C.P (100%) – Loss

 

1.If the cost price is 96% of the selling price, then what is the profit percent?
Sol: Let S.P. = Rs.100. Then, C.P. = Rs. 96; Profit = Rs.4.
Profit% = [4/96 * 100]% = 25/6 % = 4.17%.
2.A person incurs 5% loss by selling a watch for Rs.1140. At what price should the watch be sold to earn 5% profit?
Sol: S.P. = Rs. 27.50, Profit = 10%.
So, C.P. = Rs.[100/110*27.50] = Rs. 25.
When S.P. = Rs. 25.75,
profit = Rs. (25.75-25) = Re. 0.75.
Profit% = [0.75/25*100]% = 3%.
3.A person incurs 5% loss by selling a watch for Rs. 1140. At what price should the watch be sold to earn 5% profit?
Sol: Let the new S.P. be Rs. x. then,
(100 – loss%) : (1st S.P.) = (100 + gain%) : (2nd S.P.)
[100-5/1140] = [100+5/x] ? x = [105*1140/95] = 1260.
4.Find S.P when C.P=Rs 56.25 and Gain=20%
Sol. 56.25 * 1.2 = 67.5.
5.If a radio is purchased for Rs 490 and sold for Rs 465.50 Find the loss%?
Sol:Loss = 490 – 465.5 = 24.5
loss in % = 24.5/ 490 *100 = 5%.

Profit And Loss Short Tricks

In the examination conducted by various recruitment we find this type of question that will be asked in chapter of profit and loss. These type of question are time consuming but we have to manage our time in the examination hall.

We are going to solve this various type question on profit and loss with short tricks.
with short tricks you can solve these question simple within seconds.




Type 1:- The ratio of the cost price and the selling price is 4:5. The profit percent is?

  1. 10
  2. 20
  3. 25
  4. 30

Ans:- 25
profit is always calculated on cost price
so, c.p=4 , s.p=5

Profit=s.p-c.p, 5-4=1
profit %= profit/cost price * 100, then, 1/4*100= 25

Type 2:- If on selling 12 notebooks a seller makes a profit equal to selling price of 4 notebook, what is his profits percentage?

  1. 16.2/3
  2. 25
  3. 50
  4. None of these

Ans:-50

if there is profit on selling item = selling price of an article

To find profit %, simply minus 12 from 4= 8
Profit % = 4/8*100=50

Type 3:- A vender loses the selling price of 4 oranges on selling 36 oranges his loss percentage is?

  1. 10
  2. 11.1/9
  3. 12.1/2
  4. None of these

Ans:-10
if there is loss on selling item = selling price of an article
to find loss%, simply add 36 to 4 = 40


Loss % = 4/40*100 = 10

Type 4:- A vender by selling 12 toffee for a rupee. A man loses 20%. How many for a rupee should he sell to get a gain of 20%?

  1. 10
  2. 20
  3. 8
  4. 12

Ans:- 8
12 toffee for rs 1 loss 20% then
c.p = 1*100/80 = 5/4 on this price we have to gain profit of 20%

So, 5/4* 120/100 = 3/2

If for Rs. 2/3 we have 12 toffee then for rs 1 we have = 12×2/3=8




Type 5:- A sell a bicycle of to B at a profit of 20%. B sell it to C at profit of 25%. If C pays rs. 225 for it the cost price of bicycle is?

  1. 110
  2. 120
  3. 125
  4. 150

Ans:- 150
let cost price be X then,
x.120/100 . 125/100= 225 ,
by solving, then X equal to 150

Type 6 :- An article when sold at a gain of 5% yields rs. 15 more than when sold at a loss of 5%. Its cost price would be

  1. 150
  2. 200
  3. 250
  4. 300

Ans:-150

difference between gain % and loss% equal to 10%
then, 10% = rs. 15

100% = rs. 150 , that is your cost price

Type 7:- An article was sold at 16% gain. Had it been sold for rs. 200 more, the gain would have been 20% then the cost price of the article is?

  1. 5000
  2. 4800
  3. 4500
  4. 5200

Ans :- 5000

difference in gain % equal to 200,

Then 20%-16%=4%
4%= 200 then,

100%= 5000 that is your cost price of the article