A dishonest retailer sells his goods at a profit of 18% by weighing 800 g instead of 1 kg. Find his actual gain percentage.
Show answer & explanation
Correct answer: A
Explanation
The Correct answer is option 1 i.e. 47.5%.
Let's assume the cost price of 1 kg item = Rs 1000
Profit = 18%
Selling price of 1 kg item = Cost price × (100 + profit %)/100
Selling price = 1000 × (100 + 18)/100 = Rs 1180
He uses a false weight of 800 gm instead of 1000 gm
So, he sells 800 gm of goods
His actual profit = 1180 - 800 = 380
Profit % = Profit/Cost price × 100
Profit percentage = 380/800 × 100 = 47.5%