Mona bought two handbags for Rs 1,500 each. He sold these bags, making a profit of 8% on one bag and a loss of 4% on the other. Find his profit or loss percentage in the entire transaction
Show answer & explanation
Correct answer: B
Explanation
The correct answer is Option 2 i.e. 2%.
Cost price of each bags = Rs 1500
She gained 8% on one bag and lost 4% on the other.
According to the question,
Seling price of 1st bag = Cost price × (100 + profit %)/100
= 1500 × (100 + 8%)/100
= 1620
Seeling price of 2nd bag = Cost price × (100 - loss %)/100
= 1500 × (100 - 4%)/100
= 1440
Total Selling price = 1620 + 1440 = 3060
Total Cost price = 1500 + 1500 = 3000
Profit % = (Selling price - Cost price)/Cost price × 100
= (3060 - 3000)/3000 × 100
= 60/30 = 2%