Question

A lounge set was bought for $3640 and $160 was spent on

transportation and $200 on the repair. It was sold for $ 4500.

Find the Profit or Loss %.


with working please

Answer 1

Given Information:

• Buying price of the lounge set = $ 3640

• Price spent on transportation = $ 160

• Price spent on repairing = $ 200

• Selling price of the lounge set = $ 4500

Solution:

Here, price spend on transportation and repairing will be included in the overheads and the cost price is $ 3640. Henceforth,

$\implies$ Total CP = Buying price + Overheads

$\implies$ Total CP = $ ( 3640 + 160 + 200 )

$\implies$ Total CP = $ ( 3640 + 360 )

$\implies$ Total CP = $ 4000

Also,

$\implies$ Selling Price = $ 4500

Clearly, selling price is greater than cost price. So, there is profit.

Calculating profit :

• Profit = Selling Price – Cost Price

→ Profit = $ ( 4500 – 4000 )

→ Profit = $ 500

We also know that,

$\sf { Profit \: \% = \Bigg( \dfrac{Profit}{C.P} \times 100 \Bigg)\%}$

$\sf {\longrightarrow Profit \: \% = \Bigg( \dfrac{500}{4000} \times 100 \Bigg)\% }$

$\sf {\longrightarrow Profit \: \% = \Bigg( \dfrac{500}{40} \Bigg)\% }$

$\sf {\longrightarrow Profit \: \% = \Bigg( \cancel{\dfrac{50}{4}} \Bigg)\% }$

$\longrightarrow$ $\boxed {\sf \red{ Profit = 12.5 \: \% }}$

Therefore, profit % is 12.5 %.