Question

A cement company earns a profit of \[Rs.9\] per bag of white cement sold and a loss of \[Rs.5\] per bag of grey cement sold. The company sells \[7000\] bags of white cement and \[6000\] bags of grey cement in a month. What is its profit or loss?
A. \[Loss\] \[33,000\]
B. \[profit\] \[32,000\]
C. \[profit\] \[33,000\]
D. \[Loss\] \[32,000\]

Answer 1

Hint- In order to solve this problem first we must measure the total income gained by the company by multiplying the total bags and benefit per bag then calculating the total loss suffered by the company by multiplying total bags with loss per bag.

Complete step-by-step answer:
Granted, a cement firm earns a profit of \[Rs.9\] per bag of sold white cement and a loss of \[Rs.5\] per bag of sold grey cement. The company sells \[7000\] white cement bags and \[6000\] grey cement bags in a month.
So here, Profit for selling each white cement bag \[ = {\text{ }}Rs.{\text{ }}9\]
Bags of white cement sold by the company \[ = {\text{ }}7,000\]
Bags of grey cement sold by the company \[ = {\text{ }}6,000\]
We shall now proceed further by measuring the overall benefit and loss
Profit earned by the company = Total number of bags of white cement × profit per bag
\[ = {\text{ }}7,000{\text{ }} \times {\text{ }}9{\text{ }} = {\text{ }}Rs.63,000\]
Loss incurred by the company = Total number of bags of grey cement × loss per bag
\[ = {\text{ }}6,000{\text{ }} \times {\text{ }}5{\text{ }} = {\text{ }}Rs.{\text{ }}30,000\]
Hence, \[63,000\]is greater than\[30,000\], therefore there is a gain of \[Rs.{\text{ }}33,000\]for the company.
So the correct answer is option C.

Note- For example, if the value of sale price is lower than the cost price of a product, it is a profit for a shopkeeper and if the cost price is greater than the sales price, it is a loss.