TechSign Solutions pvt.

ltd Profit & Loss Example PDF

100
Example 1: = Rs × 330
100 +10
An article was brought for Rs 2000 and sold for Rs 100
= × 330 = Rs 300
110
2200. Find the gain or loss.
Solution:
C.P. of the article = ` 2000
Example 4:
A sells a bicycle to B at a profit of 20% and B
S.P. of the article = ` 2200 sells it to C at a profit of 25%. If C pays `225
Since S.P. > C.P. So there is gain. for it, what did A pay for it.
Gain (profit) = S. P. - C. P. Solution:
= ` 2200- ` 2000= ` 200 C.P. of A= 225 ×
100
×
100
100 +20 100 +25
100 100
= 225 × × = 𝑅𝑠 150.
120 125
Profit and loss percentage
The profit per cent is the profit that would be
Example 5:
obtained for a C.P. of `100.
A mobile phone is sold for Rs 5060 at a gain of
Similarly, the loss per cent is the loss that would 10%. What would have been the gain or loss
be made for a C.P. of ` 100. per cent if it had been sold for Rs 4370?
Solution:
Profit
S.P. = Rs 5060, gain = 10%
Profit per cent = × 100 5060 ×100
∴C.P. = 100 +10 = 𝑅𝑠 4600.
C.P.
REMEMBER Loss
Loss per cent = C.P. × 100 2nd S.P. = Rs 4370
Since, S.P. < C.P., so there is loss.
4600−4370 ×100
∴Loss % = = 5%
C.P.×Profit % 4600
 Profit = If a man buys x items for Rs y and sells z items
100
C.P.×Loss % for Rs w, then the gain or loss percent made by
 Loss = 𝑥𝑤
100 him is −1 ×100%
100+Profit % 𝑧𝑦
 S.P. = × C.P. Example 6:
100
100−Loss % Some articles were bought at 6 for Rs 5 and sold at
 S.P. = × C.P. 5 for Rs 6. Gain percent is:
100
100 ×S.P. Solution:
 C.P. = Suppose, number of articles bought = L.C.M
100 +Profit%
100 ×S.P. of 6 and 5 = 30
 C.P. = 100 −Loss % 5
C.P. of 30 articles = Rs × 30 = 25
6
5
S.P. of 30 articles = Rs × 30 = 36
Example 2: 6
11
A cycle was purchased for Rs 1600 and sold Gain % = × 100 % = 44%
25
for Rs 1400. Find the loss and loss %. Shortcut method:
Solution: Quantity Price
C.P. of the cycle = Rs 1600
6 5
S.P. of the cycle = Rs 1400
Since S.P. < C.P., so there is a loss. 5 6
𝑥𝑤
Loss = C.P. – S.P. % profit = − 1 × 100%
𝑦𝑧
= Rs 1600 - Rs 1400 = Rs 200. 6×6
𝐿𝑜𝑠𝑠 200 1 = − 1 × 100%
Loss % = 𝐶.𝑃. × 100 = 1600 × 100 = 12 2 % 5×5
11
= × 100% = 44%
25
DISHONEST DEALING
Example 3: 
By selling a table for Rs 330, a trader gains 10%. Error
Gain % = × 100
Find the cost price of the table. Truevalue −Error

Solution:
S.P. = Rs 330, Gain = 10% True Scale 100 + gain%
=
100 False Scale 100 − loss%
∴C.P. = × 𝑆. 𝑃.
100 +𝐺𝑎𝑖𝑛 %
TechSign Solutions pvt.ltd Profit & Loss Example PDF

 When cost price and selling price are reduced by

 A merchant uses y% less weight/length and sells the same amount (A) and profit increases then
his good at gain/loss of x%. The overall % cost price (C.P.)
𝑦 +𝑥
gain/loss is given by × 100 % Initial profit % + Increase in profit %] × A
100−𝑦 =
Increase in profit %
Example 10:
Example 7: A table is sold at a profit of 20%. If the cost price
A shopkeeper sells the goods at 44% loss on and selling price are Rs 200 less, the profit would be
cost price but uses 30% less weight. What is his 8% more. Find the cost price.
percentage profit or loss? Solution:
Solution: By direct method,
20+8 ×200
Given, x = -44, y = 30 C.P. = Rs =Rs 28×25 = Rs 700
8
30−44
The overall % gain/loss = × 100 % = If cost price of x articles is equal to the selling
100 −30
-20% price of y articles, then profit/loss percentage
𝑥 −𝑦
Which represents loss being a negative = 𝑦 ×100%, according to +ve or –ve sign
expression. respectively.

Example 8: Example 11:

A cloth merchant says that due to slump in the If the C.P. of 15 tables be equal to the S.P. of
market, he sells the cloth at 10% loss, but he 20 tables, find the loss per cent.
uses a false metre-scale and actually gain 15%. Solution:
Find the actual length of the scale. By direct method,
Solution: −5
Profit/loss % = 20 × 100 = 25% loss, since it
True Scale 100+gain %
= is –ve.
False Scale 100−loss %
100 100+15
= Example 12:
False Scale 100−10
100 ×90
⇒False Scale= = 78.26cm If the C.P. of 6 articles is equal to the S.P. of 4
115
articles. Find the gain per cent.
Example 9: Solution:
A dishonest dealer professes to sell his goods Let C.P. of an article be Rs x; then,
at cost price, but he uses a weight of 960 g for C.P. of 6 articles = Rs 6x
the kg weight. Find his gain per cent. C.P. of 4 articles = Rs 4x
Solution: But S.P. of 4 articles = C.P. of 6 articles
Error = 1 kg – 960g ∴S.P. of 4 articles = 6x
= 1000g – 960 g = 40g. Thus, gain = S.P. – C.P. = Rs (6x-4x) = Rs 2x
40
∴Gain% = × 100 2𝑥
∴Gain % = × 100 = 50
1000 −40 4𝑥
40 1 Thus, gain in the transaction = 50%
= × 100 = 4 %
960 6
GOODS PASSING THROUGH Example 13:
SUCCESSIVE HANDS By selling 33 metres of cloth, a man gains the
 When there are two successive profits of a % sale price of 11 metres. The gain % is
Solution:
and b%, then the resultant profit per cent is
Gain = S.P. of 33 metres – C.P. of 33 metres
given by = S.P. of 11 metres
𝑎𝑏 ⇒ S.P. of 22 metres = C.P. of 33 metres
𝑎+𝑏+ %
100 gain
 When there is a profit of a % and loss by b % in ∴% gain = × 100
C.P.of metres
a transaction, then the resultant profit or loss per S.P.of 11 metres
𝑎𝑏
= × 100
C.P.of 33 metres
cent is given by 𝑎 − 𝑏 − 100 %, according to S.P.of 11 metres 11
= S.P.of 22 metres × 100 = 22 × 100 = 50%
the ve or –ve sign respectively.
Shortcut method:
TechSign Solutions pvt.ltd Profit & Loss Example PDF

If on selling ‘x’ articles a man gains equal to =

2𝑥𝑦
− 1 × 100 according as the sign is
the S.P. of y articles. 𝑧 𝑥 +𝑦
Then, +ve or –ve.
𝑦 11 11
%gain=
𝑥−𝑦
× 100 = × 100 = ×
33−11 22
 If two items are sold, each at Rs x, one at a
100=50% gain of p% and the other at a loss of p%, there
Marked Price: The price on the lable is called 𝑝2
the marked price.
is an overall loss given by100 %.
The marked price is abbreviated as M.P. Note that in such cases there is always a loss.
Discount: The reduction made on the ‘marked The absolute value of the loss is given by
price’ of an article is called the discount. 2𝑝 2 𝑥
NOTE: 100 2 −𝑝 2

When no discount is given, ‘selling price’ is the same as  If CP of two items is the same and % Loss and
‘marked price’. % Gain on the two items are equal, then net loss
 Discount = Marked price × Rate of discount. or net profit is zero.
 S.P. = M.P. – Discount.
Discount
 Discount% =
M.P.
× 100 Example 16:
A shopkeeper sold two radio sets for Rs 792 each,
 Buy x get y free i.e., if x + y articles are sold at gaining 10% on one, and losing 10% on the other. Then
cost price of x articles, then the percentage he
𝑦
discount =𝑥+𝑦 × 100. Solution:
When selling price of two articles is same and
% gain = % loss
Example 14: then there will be always loss.
10 2
How much % must be added to the cost price and overall % loss = %= 1%
100
of goods so that a profit of 20%must be made
after throwing off a discount of 10% from the Example 17:
marked price? A man bought two housing apartments for Rs2
Solution: lakhs each. He sold one at 20% loss and the other
Let C.P. = Rs 100, then S.P. = Rs 120 at 20% gain. Find his gain or loss.
Also, Let marked price be Rs x. Then Solution:
120 ×100 1 When C.P. of two articles is same and
90% of x = 120 ⇒ 𝑥 = = 133 % gain = % loss
90 3
1
∴ M.P. should be Rs 133 Then, on net, there is no loss, no gain
3
1
or M.P. = 33 3 % above C.P.  If an article is sold at a price S.P1..., then % gain
or % loss is x and if it is sold at a price S.P 2...
then % gain or % loss is y. If the cost price of
Example 15:
At a clearance sale, all goods are on sale at 45% the article is C.P., then
S.P 1 S.P 2 C.P. S.P 1 −S.P 2
discount. If I buy a skirt marked Rs600, how much = = =
would I need to pay? 100 +x 100 +y 100 x−y

Solution: where x or y is negative, if in indicates a loss,

M.P. =Rs 600, Discount = 45% otherwise it is positive.
M.P.×Discount % 600 ×45
Discount = 100
= 100 = Rs270.
∴ S.P. = M.P. – Discount Example 18:
s.p =600-270=330. Hence the amount I held to pay By selling a radio for Rs 1536, Ramesh lost 20%.
is 330.Alternate method; s.p capital =M.P×0.55 What per cent shall he gain or lose by selling it for Rs
= Rs 600× 0.55 = Rs 330 2000?
 A man purchases a certain number of articles Solution:
at x a rupee and the same number at y a rupee. Given, S.P1 = 1536, x = -20 (-ve sign indicates
loss)
He mixes them together and sells them at z a
S.P2 = Rs 2000, y =?
rupee. then his gain or loss % Using the formula,
S.P 1 S.P 2
=
100 +x 100 +y
TechSign Solutions pvt.ltd Profit & Loss Example PDF

1536 2000 Let M.P. =x

we get 100 −20 = 100 +𝑦
𝑀.𝑃.×𝐷𝑖𝑠𝑐𝑜𝑢𝑛𝑡 % 𝑥×12 3
2000 ×80 1 Discount = = 100 = 25 𝑥
⇒ 100 + 𝑦 = = 104 100
1536 6 Now, M.P. = S.P. + Discount
1
⇒ 𝑦 = 46 % 3
x =880 + x
1 25
Thus, Ramesh has a gain of 4 % by selling it 3 22𝑥
6 ⇒ 𝑥 − 25 𝑥 = 880 ⇒ 25
= 880
for Rs 2,000 880 ×25
 It A sells an article to B at a gain/loss of m% ⇒𝑥= 22
= 40 × 25 = `1000
and B sells it to C at a gain/loss of n%. If C ∴ Marked price of the article is `1000
pays Rs z for it to B then the cost Example 22:
100 2 𝑧
price for A is A shopkeeper offers his customers 10%
100+𝑚 (100 +𝑛) discount and still makes a profit of 26%. What
Where m or n is negative, of it indicates a loss, is the actual cost to him of an article marked `280?
otherwise it positive. Solution:
M.P. = `280 and Discount % = 10
Example 19: 𝑀.𝑃.×𝐷𝑖𝑠𝑐𝑜𝑢𝑛𝑡 % 280 ×10
Mohit sells a bicycle to Rohit at a gain of 10% and Discount = 100
= 100
=`28
Rohit again sells it to Jyoti at a profit of 5%. If S.P. =M.P. – Discount = `280- `252
Jyoti pays Rs 462 to Rohit. What is the cost price
of the bicycle for Mohit. Now, S.P. = `252 and profit = 26%
100
Solution: ∴ C.P. = × S. P.
100 +Profit %
Given, m = 10, n = 5, z = Rs 462 100
100 2 𝑧 = × 252 =`200
Using the formula, C.P. = 100 +26
100 +𝑚 (100 +𝑛)
100 2 ×462
Hence, the actual cost of the article is `200.
we get C.P. for Mohit =
100 +10 (100 +5)
When two different articles sold at same S.P. x
and y are % gain (or loss) on them. Then
overall % gain or loss SUCCESSIVE DISCOUNT:
100 𝑥+𝑦 +2𝑥𝑦
= In successive discounts, first discount is subtracted
100 +𝑥 (100 +𝑦)
The above expression represent overall gain or from the marked price to get net price after the first
loss according to its sign. discount. Taking this price as the new marked price, the
second discount is calculated and it is subtracted from it to
get net price after the second discount. Continuing in this
Example 20: manner, we finally obtain the net selling price.
In case of successive discounts a % and b%, the effective
A man sold two watches for ` 1000 each. On 𝑎𝑏
one he gains 25% and on the other 20% loss. discount is 𝑎 + 𝑏 − %
100
Find how much % does he gain or loss in the
ay by
whole transaction? or Single discount = 1 − 1 − 1− × 100
100 100
Solution:
When S1 = S2, then
overall % gain or % loss Example 23:
=
100 𝑥+𝑦 +2𝑥𝑦 Find the single discount equivalent to
100 +𝑥 +(100 +𝑦) successive discounts of 15% and 20%
100 25−20 +2×25×−20
= Solution:
100 +25)+(100 −20)
100 By direct formula,
=− % loss (∵ it is –ve) 𝑎𝑏
41 Single discount = 𝑎 + 𝑏 − %
100
15 × 20
Example 21: = 15 + 20 −
100
% = 32%
After allowing a discount of 12% on the  If three or more successive discounts on an
marked price of an article, it is sold for `880. article are a%, b%, c% and respectively then a
Find its marked price. single discount to the successive discounts
Solution:
will be
S.P. = `880 and Discount % = 12
 TechSign Solutions pvt.ltd

𝑎% 𝑏% 𝑐% A shopkeeper offers 5% discount on all his

1− 1− 1− 1− 1
100 100 100 goods to all his customers. He offers a further
𝑑% discount of 2% on the reduced price to those
− %
100 customers who pay cash. What will you
actually have to pay for an article in cash if its
Example 24: M.P. is `4800?
Find single equivalent discount of successive
Solution:
discount of 30%, 20%, 40% and 10%.
Solution: M.P. = `4800
Single discount = [1-(1-30) × (1-20) × (1-40)× First discount = 5% of M.P.
5
(1-10)×100] = 69.76% = 100 × 4800 = `240

Net price after discount = `4800 - `240

Example 25:
Find the S.P. of an article whose M.P. is `9988467 = `4560
giving successive discount of 50%, 40% and Second discount = 2% of `4560
10%. 2
= 100 × 4560 = `91.20
Solution:
Equivalent discount = [1-(.50×.60×.90) ×100] Net price after discount = ` 4560 - ` 91.20
=73%
100 −73 = `4468.80
S.P. =9988467 × 100
= 2696886.09
By Direct Method:
5 2
S.P. = 4800 1 − 100 1 − 100 =`4468.80
Example 26:
If an article is marked at `1000000, and on  A person buys two items for ` A and sells one
purchasing a person gets discount of 30%, at a loss of l% and other at a gain of g%. If
30%, 20%, 10% and 10% successively. Find each item was sold at the same price, then
his over all discount percentage. (a) The cost price of the items sold at loss
𝐴 (100 +%𝑔𝑎𝑖𝑛 )
Solution: = 100 −%𝑙𝑜𝑠𝑠 +(100 +%𝑔𝑎𝑖𝑛 )
[1-(.07×.07×.08×.09×.09)] × 100 = 68.24% (b) The cost price of the item sold at gain
𝐴 (100 +%𝑙𝑜𝑠𝑠 )
=
Example 27: 100 −%𝑙𝑜𝑠𝑠 +(100 +%𝑔𝑎𝑖𝑛 )

An article is listed at `65. A customer bought

Example 29:
this article for `56.16 and got successive
Ramesh buys two books for `410 and sells one
discounts of which the first one is 10%. The
at a loss of 20% and the other at a gain of
other rate of discount of this scheme that was
25%. If both the books are sold at the same
allowed by the shopkeeper was:
price. Find the cost price of two books.
Solution:
Solution:
Price of the article after discount 65 – 6.5 =
Give, A = 410
`58.5 Cost price of the books sold at loss =
Therefore, the second discount 410 (100 +25)
58.5−56.16 100 −20 +(100+25)
= × 100 = 4% 410 ×125
58.5 = 80+125
= `250/-
Cost price of the books sold at profit
Example 28:
 Profit & Loss Example PDF

410 (100 −20) Now, x × 1.12 × 1.1 − 616

= 100 −20 +(100 +25) 616
410 ×80 ⇒x= =`500
= = `160/- 1.232
80+125

Example 32:
SALES TAX
To meet government’s expenditures like Pure ghee cost ` 100 per kg. After adulterating
construction of roads, railway, hospitals, schools etc, it with vegetable oil costing `50 per kg, a
the government imposes different types of taxes. Sales
tax shopkeeper sells the mixture at the rate of ` 96
(S.T.) is one of these tax. per kg, thereby making a profit of 20%. In
Sales tax is calculated on selling price (S.P.) what ratio does he mix the two?
Solution:
100
NOTE: Mean cost price = ` × 96 = `80 per kg.
120
By the rule of allegation:
If discount is given, selling price is calculated first and C.P. of 1 kg ghee
then sales tax is calculated on the selling price of the
article.
C.P. of C.P. of
Example 30: 1kg ghee 1 kg oil
Sonika bought a V.C.R. at the list price of
`18,500. If the rate of sales tax was 8%, find Mean
the amount she had to pay for purchasing the price 80
V.C.R.

Solution: 30 20
List price of V.C.R. = `18,500
Rate of sales tax = 8%
∴ Sales tax = 8% of `18,500
8
= 100 × 18500 = `1480 ∴ Required ratio = 30:20=3:2.

So, total amount which Sonika had to pay for

purchasing the V.C.R. = `18,500 + `1480
= `19,980

Example 31:
The sale price of an article including the sales
tax is `616. The rate of sales tax is 10%. If the
shopkeeper has made a profit of 12%, then the
cost price of the article is:
Solution:
Let the CP of the article be `x
Then, SP = x × 1.12 × 1.1