Question

Anu bought a sofa for ₹19700 and sold it for ₹20000, while Manu bought another sofa for ₹21200 and sold it for ₹21400. The transportation cost for Anu was ₹400, while for Manu it was ₹250 . Who incurred more loss?

• A. Anu
• B. Manu
• C. Both incurred equal amount of loss.
• D. Data insufficient

Answer 1

The correct option is A Anu

Cost price of Anu's sofa = ₹19700
Transportation cost for Anu = ₹400
$\therefore$ Total cost price of Anu's sofa, C.P
= 19700 + 400 = ₹20100

Selling price of Anu's sofa, S.P = ₹20000

$\because$ S.P < Total C.P, Anu has incurred a loss.
Loss incurred by Anu = 20100-20000
= ₹100

Cost price of Manu's sofa = ₹21200
Transportation cost for Manu = ₹250
$\therefore$ Total cost price of Manu's sofa, C.P = 21200 + 250 = ₹21450

Selling price of Manu's sofa, S.P = ₹21400

$\because$ S.P < Total C.P, Manu has incurred a loss.
Loss incurred by Manu = 21450-21400 = ₹50

$\therefore$ Anu incurred more loss than Manu.