How to solve profit and loss problems for SBI PO 2017
SBI PO 2017
Profit and loss has always been an essential topic for people from all walks of life. Right from high school exams to major competitive exams, profit and loss has always been one of the most vital topics. Students who are preparing for SBI PO 2017 exam, we bring this article for you which will make you go through short tricks on How to solve profit and loss problems for SBI PO 2017.
Before moving to the section of ‘tips to solve profit and loss in SBI PO 2017’, let us skim through some basics and fundamentals related to Profit and Loss:
Profit and Loss Basic Concepts:
Selling Price- Selling price is the price at which an article is sold. Selling price is otherwise known as S.P.
The selling price of an article can be calculated by applying the formula of (100+gain in %) /100 x C.P.
Cost Price- Cost price is the price at which an article is purchased. Cost price is otherwise known as C.P.
The cost price of an article can be calculated by applying the formula of 100/ (100+gain in %) x S.P.
Loss- If the cost price of the article exceeds the selling price, this case is a loss for the seller.
The loss can be calculated by using formula- CP- SP and the loss percentage can be calculated using Loss/ (C.P.) x 100.
Let us go through some of the smart ways of solving profit and loss problems:
Profit and Loss Based on Cost Price
If you have to find gain or loss in form of percentage, you can divide the gain or loss amount by cost of the article followed by a multiplication with 100.
Example: A notebook which is of 60 rupees is sold at a profit of 20 rupees. Calculate the rate of profit.
Apply the formula-
Gain/cost × 100 = % profit.
20/60 × 100 = 33%.
If you are asked to calculate the loss and selling price when the percent loss and cost are already mentioned, you can multiply the cost by the loss percent followed by a subtraction of the product from the cost.
Example: A damaged table worth Rs.110 was sold with a loss percentage of 10%. Calculate the loss and selling price.
As we all know, Cost x percent loss = loss.
Multiply 110 x 1/10 = 11, loss.
Apply the formula Cost - loss = selling price.
- - 11 = 99.
Profit and Loss Based on Selling Price
When you know the selling price and percent profit, multiply the S.P. by the percent profit followed by a subtraction of the result from the S.P.
Example: A boy sells a pen at Rs. 6.00 with a profit percent of 25% of the S.P. Segregate the SP into cost and profit.
Selling price x % profit = profit.
Selling price = profit + cost.
6.00 x .25 = 1.50, profit.
6.00 - 1.50 = 4.50, cost.
To find the loss and the cost when the selling price and the percent loss are given, multiply the selling price by the percent loss and subtract the result from the selling price.
Example: At a wholesale marketplace, handkerchiefs selling at Rs. 50.00 are sold with a loss of 60% of S.P. Calculate the loss and original cost?
Selling price x % loss = loss.
Selling price + loss = cost.
50.00 x .60 = 30.00, loss.
50.00 - 30.00 = 20.00, cost.
When you are given the data of cost and the percent loss and cost and asked to, you can add the loss percentage to 100% followed by division of the cost by this sum.
Example: Earrings which were of Rs. 7.00 per pair were sold at a loss percentage of 25% of S.P. Calculate the selling price?
Answer: Calculate selling price- Cost / (100% + % loss) -
7.00 / 1.25 = 5.60
When you are given the data of profit/loss, the percent profit/ percent loss and asked to calculate selling price, you can divide the given profit/ loss by the profit percentage/ loss percentage.
Example: A cloth is sold at a profit of 12% of its S.P., which is equivalent to 18 per yard. Calculate the cloth’s selling price?
Answer: Calculate the selling price- Profit / % profit
18 /.12 = 1.50
If you are asked to find the percent profit or loss, you have to divide the amount lost or gained by the selling price.
Example: If an ice-cream is sold at 3.30 at a profit of 72. Calculate the profit percent.
Answer: Gain / selling price = % profit.
72 / 3.30 = 21% profit.
Problems based on Mark-up Price
Definition- The marked price is always less than the selling price. Discount is referred to as the difference- MP – SP
The Discount % (D %) can be calculated using formula = (Discount) / (M P) ×100
In order to reduce the loss percentage on cost to loss percentage on S.P., you need to divide the loss percentage on cost by 100% minus loss percentage on cost.
Example: 40% loss on cost is what percent loss on selling price?
Formula is: % loss on cost / (100% - % loss on cost) = % loss on selling price.
0.40 / 60 = .0066 or 66% loss on selling price
In order to reduce the loss percentage on selling price to loss percentage on cost, you need to divide the loss percentage on S.P. by 100% plus loss percentage percent on cost.
Example: 40% loss on selling price is what percent loss on cost?
% loss on selling price / (100% + % loss on selling price) = % loss on cost.
.40 / 1.40 = 0.28
To find out percent mark- up (which is profit percentage on cost) to profit percentage on selling price, you need to divide the percent mark- up by 100 % percent plus the percent mark- up.
Example: A coat marked up 60% carries what percent of profit on selling price?
Answer: % profit on cost / (100% + % profit on cost) = % profit on selling price.
.60 / 1.60 = .375 or 37.5% on selling price.
We hope that this article on How to solve profit and loss problems for SBI PO 2017 helps. We would love to hear from you in the comments section below. Stay tuned and happy learning!
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