A man sold an article for Rs. 2320 and made a profit of 16% in the process. What would have been his profit or loss percent, had he sold it for Rs. 2100?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. Profit, 5%
Given:
Selling price = Rs 2320
Profit = 16%
Final selling price = 2100
Formula used:
SP = CP + CP × Profit% ---- (1)
Profit = CP - SP ----- (2)
Profit% = [Profit/CP] × 100 ---- (3)
Where, SP = Selling price and CP = cost price
Calculations:
Using equation (1), we get
⇒ CP = (2320/116) × 100
⇒ CP = 2000
Using equation (2),
⇒ Profit = 2100 - 2000
⇒ Profit = 100
Using equation (3),
⇒ Profit% = (100/2000) × 100 = 5%