Question

The purchasing cost of a motorbike by a showroom was Rs. 80,000. The owner then sold this bike at Rs. 60,000. Find the percentage of profit or loss.

• A. 20%
• B. 25%
• C. 30%
• D. 35%

Answer 1

The correct option is B

25%

Amount for which motor bike was purchased = Rs. 80,000

Amount for which motor bike was sold = Rs. 60,000

As we can clearly see that, the selling price is less than the cost price, so the showroom occurred loss.
Loss = Difference in the amount for which it was purchased and the amount for which it was sold.

Loss = Rs. 80,000 - Rs. 60,000 = Rs. 20,000

Percentage of loss = $\frac{loss}{originalamountforwhichitwaspurchased}\times 100$

i.e. $\frac{20000}{80000}\times 100=25\%$