A businessman cheats by using faulty weights, to the tune of 12% each time, when buying and selling material. What is the rise in his profit percentage using faulty weights only?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 25.44%
Concept used:
When a person is gaining profit of x% by selling and purchasing of the same item
Profit% = x + x + x2/100 ---- (1)
Calculations:
Using equation (1), we get
Profit% = 12 + 12 + 144/100
⇒ 24 + 1.44 = 25.44%