Question

If the cost price and the selling price of an article are in the ratio of 5 : 4 find the loss or gain percentage .​

Answer 1

Answer

20% (loss percent)

$\rm Solution$

Provided, the ratio of C.P to S.P = 5 : 4

Let the common multiple be 'x'

Therefore, Cost price of an article = 5x ; Selling price of the article = 4x

It's definitely a loss [loss in transaction]. Now, the question arises how can we guess so easily that we're suffering loss in such transaction when we have no value for 'x'. Common sense lol !! See no Matter what we will get as a value of x still C.P will remain greater. Eg. let x = 1, C.P = 5(1) = 5 while S.P = 4(1) = 4. Let x = 12, C.P = 5(12) = 60 while S.P = 4(12) = 48 here also, C.P comes out to be greater (multiple of 5 > multiple of 4 for the same value of x) Cool down !! We have find that it's a loss and proved it thou.

Loss = C.P - S.P = 5x - 4x = x

Loss percent = Total Loss × 100/ C.P

Loss percent = 100x/5x

[x will be cancelled out]

Loss percent = 20

Thus, 20% is the required loss (or loss percent)