Question

17. By selling a wrist watch at Rs.400 the shopkeeper incurs a loss of 20%. What is the
profit or loss percentage if he sells the same watch at Rs.525?
(a) profit of 10% (b) loss of 6% (c) loss of 3.33% (d) profit of 5%​

Answer 1

Answer:

option D

Step-by-step explanation -:

We would need to find the Cost Price first, in order to compute the profit or loss percentages -:

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

      = (100/100 - 20) * 400 Rs.

      = (100/80) * 400 Rs.

      =  500 Rs.

Now,

C.P. = 500 Rs

S.P. = 525 Rs

Profit (the S.P. is greater than the cost price) = 525 Rs - 500 Rs = 25 Rs

                                                                                                           

P% = 25/500 * 100% = 5%  

Hence, option (d) 5% is his profit percentage.