Question

The ratio of cost price and selling price of an article is 20 : 21. What is the gain per cent on it ?

(a) 5 %

(b) $5\frac{1}{4}\%$

(c) 6 %

(d) $6\frac{1}{4}\%$

Answer 1

Answer : (a)

Ratio in CP and SP = 20 : 21

Let CP = Rs. 20

and SP = Rs. 21

Gain = SP - CP = Rs. 21 - 20 = Re 1

$Gain\%=\frac{Totalgain\times 100}{CP}=\frac{1\times 100}{20}=5\%$