Question

Sarah bought a house for rupees 70 lakhs.she spent rupees 4 lakhs on renovation and appointed a caretaker for an annual salary of rupees 50,000.after 2 years,she sold the house for rupees 81 lakhs.find her profit percent?

Answer 1

hello Deepa

here is your answer


➡To find the profit % We need to find the cost and profit first.

Money Spend on House

▶▶Purchase Price = 7,000,000
Renovation Charge = 400,000
Salary Of Caretaker = 100,000 ( 50,000 for two years)


Now,
Total Amount spend on House = 7,000,000 + 400,000 + 100,000 = ₹ 7,500,000

Hence the Cost price = 7,500,000
Sales price = 8,100,000
Profit on sales = 8,100,000 - 7,500,000 = 600,000

So, the profit is 6 lakh
Let the profit % be = X

600,000 = 7,500,000 × X/100

600,000 = 75,000X
X = 8 %

Hence the profit % is 8% on sale of house.



hope it helps
jerri