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If CP and SP of a product are Rs. 350 and Rs. 385 respectively. Then find the profit or gain.

Answer Verified Verified
Hint: When a product is purchased in the view of selling it to the consumer in order to do business then, the price in which the product is bought by the seller is known as the cost price of the product and the price in which the seller sells the product to the consumer is known as selling of the product for the seller. If the selling price of the product is greater than the cost price of the product, then the difference in the prices can be termed as the profit or the gain on the product while at the same time if the selling price is less than the cost price of the product, then the difference in the price is known as the loss on the product. Profit percent or, loss percent of a product is always calculated on the cost price of the product. In this question, the cost price, as well as the selling price of the product, has been given, and we need to determine the gain. So using the formula for the profit, we can get the result.

Complete step by step solution: Substitute the cost price of the product as Rs. 350 and the selling price of the product as Rs. 385 in the formula ${\text{Profit}} = SP - CP$ to determine the value of the gain or the profit as:
$
  {\text{Profit}} = SP - CP \\
   = 385 - 350 \\
   = 35 \\
$
Hence, the gain on selling the product is Rs. 35.

Note: It is to be noted here that many a time, the marked price has been given in the question instead of selling price. So, be careful while reading the question as the marked price is the price which has been marked on the product by the seller but the selling price is the price of the product which the seller actually gets for the product after discount.