Question

Define about profit, loss formulas and example sums

Answer 1

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.
IMPORTANT FORMULAE
Gain = (S.P.) - (C.P.)
Loss = (C.P.) - (S.P.)
Loss or gain is always reckoned on C.P.
Gain Percentage: (Gain %)
Gain % = Gain x 100
C.P.
Loss Percentage: (Loss %)
Loss % = Loss x 100
C.P.
Selling Price: (S.P.)
SP = (100 + Gain %) x C.P
100
Selling Price: (S.P.)
SP = (100 - Loss %) x C.P.
100
Cost Price: (C.P.)
C.P. = 100 x S.P.
(100 + Gain %)
Cost Price: (C.P.)
C.P. = 100 x S.P.
(100 - Loss %)
If an article is sold at a gain of say 35%, then S.P. = 135% of C.P.
If an article is sold at a loss of say, 35% then S.P. = 65% of C.P.