A man sells an article at a certain price. If he sells it at 35% of this selling price, then he has a loss of 22%. If he sells it at its original selling price, then his profit percentage is:
Show answer & explanation
Correct answer: A
Explanation
The correct answer is Option 1 i.e. 20%.
Let the cost and selling prices of the article be R and Q.
R - R × 22% = Q - Q × 35%
⇒ R - 0.22R = Q - 0.35Q
⇒ 0.78R = 0.65Q
⇒ R/Q = 0.65/0.78
⇒ R/Q = 5/6
So, the cost and selling prices are 5P and 6P, respectively.
Now, his profit percentage = (6P − 5P)/5P × 100%
⇒ 1/5 × 100% = 20%