Profit % question (10% less buy, 10% more sell)?
- 10%
- 20%
- 22.22%
- 15%
Explanation
Assume originally:
-
Bought 100 items for Rs.100
So, Cost Price (CP) per item = Rs.1
Now buys 10% less:
- 10% less than 100 = 90 items
- Still spends Rs.100
So new CP per item:
Now sells 10% more:
- 10% more than 100 = 110 items
Assume selling rate is Rs.1 per item.
So total Selling Price:
Profit:
Profit percentage formula:
Profit/ Cost Price ×100
Substitute values:
That approach looks tempting, but it ignores that buying fewer changes the cost per item. The correct combined effect is:
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