The cost price of a chair is three times of the profit earned on selling the chair. What is the approximate profit percentage gained through the sale?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 33.33%
Given:
The cost price of a chair is three times of the profit earned on selling the chair
Profit = [(SP - CP)/CP] × 100 ---- (1)
SP and CP are selling price an cost price
Let the profit be 100x
Cost price = 3 × 100x = 300x
Selling price = 300x + 100x = 400x
Using equation (1), we get
Profit percentage = [(400x - 300x)/300x] × 100
= (100/300) × 100
= 33.33%