Question

Sanya sold her flat in Delhi at a profit of 60%. She had purchased the flat for ₹4 Lakhs. She had sold it through a broker and paid him a commission of 5% on the profit she made. How much commission did the broker get?
(3 marks)

Answer 1

Step 1:
Cost Price of the Flat = ₹400000
Profit = 60% of ₹400000 = $\frac{60}{100}\times 400000$ = ₹240000

(1.5 mark)

Step 2:
Commision paid to broker = 5% of ₹240000 = $\frac{5}{100}\times 240000$ = ₹12000

(1.5 mark)