Profit and loss questions for all competitive exams and for all placement papers preparations

 Profit and Loss Questions, Tricks, Approach, and Previous years questions-

The profit and loss chapter is one of the most important topics, from it, there are two or three questions that have been frequently asked in almost all competitive exams(SSC CGL/Ibps/Railway /State pcs, etc./) including campus placement for many multinational companies.

In this article, You will get to know three methods to solve to find the selling price /cost price of an article. Before to move ahead at first we will know all basic concepts and terms.

COST PRICE- It is the price at which the buyer buys an article. In other words, when we buy anything after paying the price from where it is taken, is called the cost price of an article. We denote cost price with  C.P.

Example- Ram buys a Cadbury for 20 rupees. Find cost price for ram here.

 Sol- clearly ram has invested 20 rupees for buying Cadbury so, the Cost price(CP) = 20. 

SELLING PRICE- When we sold any article at a fixed price is called the selling price of an article. For example, a shopkeeper buys an item for 100 rupees, after buying it he sold to their customers for 200 rupees, Here 200 rupees is the selling price. We denote selling price with S.P. 

PROFIT- It is also known as gain. Suppose on Sunday I buy a pencil for 10 rupees and on the next day i.e, on Monday, I sold the same pencil for 20 rupees to my friend, So in this way, I gained  20- 10 =  10 rupees.

1.Profit = Selling price -  Cost price. 

2. Profit always happens on your buying price/cost price. Sometimes it has been said in questions to calculate %profit on selling price so at that place we will calculate % profit on selling price otherwise we will calculate %profit on our buying/cost price.

3. %Profit = (selling price -  cost price) /(cost price)    × 100  

4. So remember profit will happen when the selling price is greater than the cost price. 

Loss -  When we pay more in buying an item and sold the same item at a less price than buying an item, at this stage when incurred loss.

 

1.Loss = CP  -  SP  

2.% LOSS= (CP - SP) /(CP)   × 100  

3. %Loss or  % profit is always calculated on cost price until or unless it is mentioned in questions.

4. In loss cost price is more than the selling price.  

DISCOUNT- It is always given at a fixed marked price by the shopkeeper in our day-to-day life. 

MARKED PRICE/MAXIMUM RETAIL PRICE- 

It is also known as written price /tag price, which is written on each and every product. You will not be allowed to pay price for any product during buying an item more than it. On tag price, the shopkeeper gives us a discount.

Now its time to do questions- In this article, I will guide you to approach questions of this topic which is very frequently come in all competitive exams especially staff selection commission, Railway NTPC/JE/SSE /ALP, Ibps PO/Clerk/SO, RRB PO/clerk, all state pcs exams and campus placement exams. 

NOTE - HERE WE WILL DENOTE  p/P = PARTS IN ENTIRE QUESTIONS DON'T BE CONFUSED WITH PAISA

Type -1 questions 

Q1.If the ratio of cost price to selling price is 10:11, then the rate of profit is?

a. 1.1 %                                                                                               

b.10%

c.0.1%

d.1%

                               SSC CGL MAINS- 12/10/2015

Sol- Here the ratio is given 

CP = 10p

SP= 11p

Here, p = parts  

Here, SP > CP  so gain will happen. 

% gain = 11p - 10 p / (10p)  × 100     =   1p/10p ×100  = 10%  

Q2. If the cost price of 25 chairs is equal to the selling price of 30 chairs, then find the loss %?

a. 5%                                                                                        

b.  20%

c 16  2/3 %

d. 25 % 

                          SSC LDC 06-12-2015/RRB NTPC  2021          

Sol- cp of 25 chairs = sp of 30 chairs 

      or, cp/sp = 30/25    i.e, cp = 30p      and   sp = 25p  

since cp > sp  then loss = 30p - 25p = 5p 

% loss= 5p/cp  × 100 

          = 5p/30p  × 100   = 100/6 = 50/3 = 16  2/3 %  

Q3. If books bought at prices from Rs. 150 to Rs. 300 are sold at a price ranging from Rs. 250  to Rs. 350. What is the greatest possible profit that might be made in selling 15 books?

a. Can't be Determined 

b.Rs. 750

c.Rs. 4250

d.Rs. 3000          

                                      SSC CHSL/LDC/CGL - 2013/2014

Sol-  If we have to gain maximum then we have to keep the buying price minimum while selling price maximum, Use this concept here 

so, the minimum cost price between 150 to 300 = 150 rupees

    the maximum selling price between 250 to 350 = 350 rupees. 

so, gain = 350  -  150  = 200 rupees

200 rupees gain on selling one book so, for 15 books = 200 ×  15 = 3000 

Q4. The price of a refrigerator and a television set is in the ratio of 5 : 3.  If the refrigerator costs 5500 rupees more than the television set, then find the price of the refrigerator?

a. Rs. 27500

b. Rs. 8250

c. Rs. 13750

d. Rs. 16500 

                                 SSC CHSL DEO & LDC EXAM - 1/10/2012

Sol-            Refrigerator          Television  

       

                          5             :         3  

                      or, 5p          :         3p

   According to question, refrigerator cost = 5500 + television cost 

                                        or, refrigerator cost -  television cost  = 5500 rupees

                                         or,  5p -  3p  =  5500 

                                         or, 2p = 55oo  or, 1p = 2750 rupees 

                                             refrigerator cost = 5p = 5 × 2750 = 13750 rupees. 

                                               televison cost  =  3p = 3 × 2750 = 8250 rupees

  Q5.If the selling price of an article is  16/10 times its cost price, find his profit percent on it.

a.60%

b.40 %

c.120%

d.160%  

                                     RRB GROUP D 

Sol- Whenever you got a comparison between two things like this question you just need to wait for the end of the sentence, here the comparison ends with cost price then let us take cost price always denominator part of fraction(16/10) here it is 10p   and take selling price always the numerator part so, selling price = 16p  

so, we bought at 10p   and sold at 16p    so net gain = 16p-10p  =   6p 

% profit =  6p/10p   × 100  = 60 % 

TYPE -2  

BASED ON- When the selling price of each item is the same.  

Q1. A man sold two chairs at Rs. 1200 each, on one he gained 20 % and on the other, he lost 20%.  He gains or loses in the whole transaction is 

a. 1% loss

b.2% loss

c.4% loss

d.1% gain

                               SSC CGL 2017 MAINS/ 2018 PRE/ 2019 DEO/DSSSB

Sol- Method 1- Trick based approach

Here from the first line, we get there are two chairs and each one is sold at 1200 rupees. 

The trick will be work if = selling price of one item = selling price of another item 

  

                                               profit% on one item  =  loss % of another item   

then in this case there will always be loss which is(%loss) =  (profit %  × loss % ) / (100) 

% loss =  20 × 20 / 100      =   400/100  =  4 % 

 

Method 2 - In this method, you will only require profit % and loss % which has given, 

step 1 - convert 20% into fraction for-profit  = 20/100 = 1/5   here Cost price we will take denominator value always i.e, 5 p, and the numerator part denotes profit which is 1p.

step 2 - convert 20 % into fraction for loss =  20/100 = 1/5  here also Cost price = denominator = 5p  and loss = numerator part which is 1p. 

step 3-                        Cost  Price       :     Selling Price  

 

     1st chair -                   5P                :     5P+1P = 6P    

     2nd chair                   5P                 :    5P - 1P = 4P    

Now here selling price is the same for both chairs so here it is not the same, we will make the same in the ratio by multiplying the 1st chair ratio by 4 and the 2nd chair ratio by 6.

                                   Cost price              Selling price 

   

1st chair -               5P×4 = 20 P            :      6P×4= 24 P

  

2nd chair-               5P × 6= 30 P         :      4P × 6= 24 P                                                                    

                      

                                Total CP = 50 P         Total SP = 48 P   

                                 or , loss = 50 P - 48 P = 2 P 

        

                                  % loss = 2 P/ 50 P     × 100 

                                                 =  4 %           

           Note - This method is amazing and will be handy in all questions whether cost price or selling price is the same or not. So use it always to solve questions.

  

Method 3 - Total selling price = 1200 × 2 = 2400  

                      Total  Cost price =  1200 × 100/120   +  1200  ×  100/ 80  

                                                   =  1000   +  1500  =  2500  rupees 

   loss = 2500 -  2400  = 100 

%loss= 100/2500  × 100 =  4 %