Question

Maganlal bought trousers for Rs 400 and a shirt for Rs 200 and sold them for Rs 448 and Rs 250 respectively. Which of these transactions was more profitable?

Answer 1

Cost price of trousers = Rs 400
Selling price of trousers = Rs 448
Since selling price of trousers is more than cost price of trousers, so there is a profit.
Profit = Selling price − Cost price
= 448 − 400
= Rs 48
Cost price of a shirt = Rs 200
Selling price of a shirt = Rs 250
Since selling price of a shirt is more than cost price of a shirt, so there is a profit.
Profit = Selling price − Cost price
= 250 − 200
= Rs 50
Let x% be the profit on selling trousers and y% be the profit on selling a shirt. Then,
$\frac{x}{100}=\frac{\mathrm{profit}}{\mathrm{cost}\mathrm{price}}=\frac{48}{400}$ and $\frac{y}{100}=\frac{\mathrm{profit}}{\mathrm{cost}\mathrm{price}}=\frac{50}{200}$
⇒$\frac{x}{100}\times 100=\frac{48}{400}\times 100$ and $\frac{y}{100}\times 100=\frac{50}{200}\times 100$
⇒x = 12 and y = 25
So, Maganlal made a profit of 12% on trousers and 25% on a shirt.
Hence, transaction with the shirt was more profitable.