A shopkeeper has found that the selling price of the product is 90% of the cost price. The selling price is Rs.90 per kg, so to get a profit, he weighs only 800 grams in place of 1 kg. Determine the profit (in Rs.) earned by the shopkeeper on selling 1 kg of this product.
Show answer & explanation
Correct answer: B
Explanation
The correct answer is Option 2 i.e. 10.
Given:
Cost price (CP) per kg = Rs. 100
Selling price (SP) per kg = Rs. 90
Weight sold = 800 grams (instead of 1 kg)
Profit (P) = SP - CP
Since the shopkeeper is selling 800 grams instead of 1 kg, we need to adjust the cost price accordingly.
⇒ Adjusted CP = (800/1000) × CP
⇒ Adjusted CP = (800/1000) × Rs. 100
⇒ Adjusted CP = Rs. 80
Now, we can calculate the profit:
⇒ P = SP - Adjusted CP
⇒ P = Rs. 90 - Rs. 80
⇒ P = Rs. 10
Therefore, the profit earned by the shopkeeper on selling 1 kg of this product is Rs. 10.