Question

plz answer this fast

Answer 1

The Net Profit of a firm is Rs. 2,200.

The Manager of the firm is entitled to 10% commission on net profit (a) before charging such commission (or) (b) after charging such commission.

ADVERTISEMENTS:

Calculate the amount of commission.

Solution:

(a) Before charging the commission, the Net Profit is Rs. 2,200

The amount of commission = 2,200 x 10/100 = Rs 220

ADVERTISEMENTS:

(b) Commission payable = 10% on Net Profit (after charging the commission)

If Net Profit is Rs. 100, Commission payable = Rs. 10

Thus profit before charging the commission = 100 + 10 = 110

Of Rs. 110, Rs. 10 is commission payable and the balance Rs. 110- Rs. 10 = Rs. 100 is the profit, left after charging the commission.

Here Rs. 2.200 is equal to 110%

Therefore 10% = 2,200/110 x 10 =Rs. 200

On verification, the manager gets 10% commission on Net profit, after charging such amount:

Thus percentage of commission = 200/2,000 x 100 = 10%