A man sold two chairs for Rs.475 each, gaining 25% on one and losing 20% on the other. Had he sold the two chairs for Rs.575 each, what would have been his gain/loss percentage (rounded off to the nearest integer)?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 18% gain
Selling Price of each chair = Rs. 475
On one chair profit% = 25%
On other chair loss = 20%
New SP of each chair = Rs. 575
CP = SP × 100/(100 ± Profit% or Loss%)
Profit% = Profit/CP × 100
Profit = SP - CP
CP of 1st chair = 475(100/125) =475(4/5) = Rs. 380
CP of 2nd chair = 475(100/80) = Rs. 593.75
Total CP = 380 + 593.75 = Rs. 973.75
Total new SP = 575 + 575 = Rs. 1150
Profit = 1150 - 973.75 = Rs. 176.25
Profit% = (176.25/973.75)100 = 18%