Enter your keyword

Profit Formula

Profit formula is majorly used for business and financial transactions. Profit arises when the selling price of any product sold is greater than the cost price ( that is the price at which the product was originally bought). 

The Profit Formula is given as,

\[\large Percentage\;Profit=\frac{Selling\;Price-Cost\;Price}{Cost\;Price}\times 100\]

Solved Examples

Question: A shopkeeper buys watch in bulk for Rs. 20 each. He sells them for Rs. 45 each. What is the profit in percentage

Solution:

Given,
Selling price of the watch = Rs. 45
Cost price of the watch = Rs. 20

Profit of the watch

= $\frac{Selling Price – Cost Price}{Cost Price}$ $\times$ 100

= $\frac{45 – 20}{20}$ $\times$ 100

= $\frac{25}{20}$ $\times$ 100

= 1.25 $\times$ 100

= 125%

Related Formulas
Octagon FormulaParallel Formula
Perimeter of a Triangle FormulaNatural Log Formula
Perimeter FormulasSurface Area of a Square Pyramid Formula
Regression Sum of Squares FormulaHypergeometric Distribution Formula