Mathematics plays an important role in competitive exams. There are questions based on profit & loss topics in almost all the competitive exams. Most of you might find difficulties while solving questions based on this topic.

Well, there are few techniques that will help you solve profit and loss questions in a matter of seconds. Wondering, how??

Read through the post that will give you a complete insight into short tricks to solve Profit and Loss in Aptitude Exams.

What is Profit & Loss Formula?

The profit and Loss formula is used to determine the price of an item and understand how profitable a business is.

Every product has a cost price and selling price and based on the values of these prices, you can find out the profit gained or loss incurred on a particular product.

Learning simple techniques and following Maths Preparation Tips for IPM will help manage your time and solve the questions with accuracy in the final exam.

Scroll down to learn short tricks to solve profit loss questions in the aptitude exams.

IPMAT mock test

IPMAT mock test

Basic Concepts of Profit and Loss

Before learning short tricks, have a look at the basic concepts and formulas from the post below:

Cost Price (CP): Price at which an item is purchased. This cost price is further classifies into two types.

  • Fixed cost: This cost price is constant and does not vary under any circumstances
  • Variable cost: This price could vary depending on the number of units

Selling Price (SP): Price at which an item is sold

Profit or Gain (P): If the selling price is more than the cost price, the difference between them is called profit

Read More: Short Tricks to Prepare for Maths in IPMAT Rohtak

Loss (L): If the selling price is less than the cost price, the difference between them is the loss incurred

Marked Price (MP): The price also known as the listed price is labelled by shopkeepers to offer a discount to the customers

Discount: This is the reduction in price offered on the marked price

Short Tricks to Solve Profit Loss Questions in Aptitude Exams

Go through the Important Maths Formulas given below to solve problems based on profit & loss within 10-15 seconds.

  • Profit, P = SP – CP; SP>CP
  • Loss, L = CP – SP; CP>SP
  • P% = (P/CP) x 100
  • L% = (L/CP) x 100
  • SP = [(100 + P%)/100] x CP
  • SP = [(100 – L%)/100] x CP
  • CP = [100/(100 + P%)] x SP
  • CP = [100/(100 – L%)] x SP
  • Discount = MP – SP
  • SP = MP -Discount
  • If P% and L% are equal then, %loss = P2/100
  • When the profit is x% and loss is y%, then the net % profit or loss will be: (x-y-xy)/100
  • If a product is sold at x% profit and then again sold at y% profit then the actual cost price of the product will be: CP = [100 x 100 x P/(100+x)(100+y)]. In case of loss, CP = [100 x 100 x P/(100-x)(100-y)]
  • For false weight, profit percentage will be P% = (True weight – false weight/ false weight) x 100
  • When there are two successful profits say x% and y%, then the net percentage profit equals (x+y+xy)/100

Important Profit & Loss Questions  

Solving Previous years' papers Question Papers for IPMAT will help you know the difficulty level and the type of questions asked in the exam.

Q) A dishonest merchant sells his grocery using weights 15% less than the true weights and makes a profit of 20%. Find his total gain percentage.

Solution:

Let us consider 1 kg of a grocery bag. Its actual weight is 85% of 1000 gm = 850 gm

Let the cost price of each gram be Re. 1. Then the CP of each bag = Rs. 850

SP of 1 kg of bag = 120% of the true CP

Therefore, SP = 120/100 X 1000 = Rs. 1200

Gain = 1200 – 850 = 350

Hence Gain % = 350/850 X 100 = 41.17%

Q) A shopkeeper allows a discount of 10% on the marked price and still gains 17% on the whole. Find at what percent above the cost price did he mark his goods.

Solution:

Let the cost price be 100. Then SP = 117

Let the marked price be x

So, 90% of x = 117 → x = 130

Therefore, he marked his goods 30% above the cost price

Read More: Short Tricks to attempt Multiplication & Division Questions in IPMAT

Q) A shopkeeper has bought 1 kg of apples for 100 rs. And sold it for Rs. 120 per kg. How much is the profit gained by him?

Solution:

Cost Price for apples is 100 rs

The selling Price for apples is 120 rs

Then profit gained by shopkeeper is ;

P = SP – CP

P = 120 – 100 = Rs. 20/-

Q) If a pen costs Rs.50 after a 10% discount, what is the pen's actual price or marked price?

Solution: MP x (100 – 10) /100 = 50

MP x (90/100) = 50

MP = (50 x 100)/90

MP = Rs. 55.55/-

Q) A man bought some toys at the rate of 10 for Rs. 40 and sold them at 8 for Rs. 35. Find his gain or loss percent.

Solution:

Cost price of 10 toys = Rs. 40 → CP of 1 toy = Rs. 4

Selling price of 8 toys = Rs. 35 → SP of 1 toy = Rs. 35/8

Therefore, Gain = 35/8 – 4 = 3/8.

Gain percent = (3/8)/4 X 100 = 9.375%

Q) A trader sells 85 m of cloth for Rs. 8,925 at the profit of Rs. 15/m of cloth. What is the cost price of 1 m of cloth?

Solution:

SP of 1m of cloth = 8925/85 = Rs. 105

CP of 1m of cloth = SP of 1m of cloth - profit on 1m of cloth

= Rs. 105 - Rs. 15

= Rs.90

FAQ's

What is the formula of profit percentage?

the formula used to calculate the profit percentage is Profit%=100XProfit/Cost Price

What is the formula of loss percentage?

The formula to calculate the loss percentage is given below:

Loss%=100XLoss/Cost Price

How can I find profit margin?

  • Calculate net income (revenue-expenses)
  • Divide net income by revenue
  • Multiply total by 100

What is marked price?

The price on the label of the product is called marked price.

How can I solve profit & loss questions easily in the exam?

Learning short tricks will help you solve profit & loss questions easily in the exam.