Question

The catalogue price of a V.C.P. is Rs. 7200. If it is sold at a discount of 20% of the catalogue price gain of 25% is made. Find the gain or loss percent, if the V.C. P. is sold for Rs. 1900.80 below the catalogue price.
A. 15% profit
B. 15% loss
C. 20% profit
D. 20% loss

Answer 1

Hint: The loss or gain is calculated by the value of selling price – cost price. The positive value defines gain and negative as loss. The percentage of gain or loss is defined as different upon cost price into 100.

Complete step-by-step answer:
First getting a look over the data, we can see that the cost price of the market for V.C.P. is given as Rs. 7200. After selling at 20% discount of marked price, which is
\[\left( {1 - \dfrac{{20}}{{100}}} \right) \times 7200 = 0.8 x 7200 = 5760.\]
We made a profit of 25% that means the cost price is less than the selling price. Here, we can calculate the cost price (CP) here by using.
\[\dfrac{{{\text{Selling}}\,{\text{Price - Cost}}\,{\text{Price}}}}{{{\text{Cost}}\,{\text{Price}}}}{\text{ \times 100 = Profit/loss}}\,{\text{Percentage}}{\text{.}}\]
\[\begin{gathered}
  \therefore \dfrac{{5760 - {\text{CP}}}}{{{\text{CP}}}} \times 100 = 25\% \\
  \Rightarrow \dfrac{{5760}}{{{\text{CP}}}} - 1 = 0.25 \\
  \Rightarrow \dfrac{{5760}}{{1.25}} = {\text{CP}}\,{\text{ = }}\,{\text{4608}}{\text{.}} \\
\end{gathered} \]
Here the cost price comes out to be 4608 Rs.
Now our main question comes out: what if the product sold at Rs. 1900.8, as V.C.P. is sold for Rs. 1900.8 then S.P. is 5299.20.
To check its profit or loss, here S.P. is greater than Cost Price. So it’s a profit to calculate the percentage, we use
     \[\dfrac{{{\text{S}}{\text{.P}} - {\text{C}}{\text{.P}}}}{{{\text{C}}{\text{.P}}}} \times 100 = \dfrac{{5299.2 - 4608}}{{4608}} \times 100 = 15\% \]
Hence, this is the gain of 15% on the V.C.P.
Option A is the correct answer.

Note: The selling price to be calculated after deduction of the price used for the purchased e.g. here paid is Rs. 1900.8.