Question

The selling price of an article is ₹ 1,200 and cost price is $\frac{5}{4}$ times of its selling price. Find:

(i) Cost price of article

(ii) Profit or loss as percent

Answer 1

Step 1 : Find C.P. of the article

Given : S.P. = ₹ 1,200

It is stated that C.P. is $\frac{5}{4}$ times of its S.P.

$\therefore$ Cost Price of article $=\frac{5}{4}\times 1,200$
$=5\times 300$
$=₹1,500$

Step 2: Find profit / loss as percent

Since $\text{C.P.}>\text{S.P.}$
$\therefore \text{Loss}=\text{C.P.}-\text{S.P.}$
= ₹ 1,500 - ₹ 1,200
= ₹ 300

Loss percent $=\frac{Loss}{C.P.}\times 100$

$=\frac{300}{1500}\times 100$

$=20$

Hence, the loss as a percent is 20 %.