Question

A cement company earns a profit of ₹8 per bag of white cement sold and a loss of ₹5 per bag of grey cement sold. The company sells 3,000 bags of white cement and 5,000 bags of grey cement in a month. What is its profit or loss?

• A. ₹ 500 profit
• B. ₹ 500 loss
• C. ₹ 1000 profit
• D. ₹ 1000 loss

Answer 1

The correct option is D ₹ 1000 loss

We denote profit in positive integer and loss in negative integer,
From the question,
Cement company earns a profit on selling 1 bag of white cement = ₹ 8 per bag
Then, Cement company earns a profit on selling 3000 bags of white cement = 3000 × ₹ 8
= ₹ 24000
Loss on selling 1 bag of grey cement = – ₹ 5 per bag
Then, Loss on selling 5000 bags of grey cement = 5000 × (– ₹ 5)
= – ₹ 25000
Total loss or profit earned by the cement company = profit + loss = 24000 + (-25000)
= – ₹1000
Thus, a loss of ₹ 1000 will be incurred by the company.