A shopkeeper calculate percentage profit on the buying price and another on the selling price. What will be their difference in profits if both claim a profit of 20% on goods sold for Rs. 3000?

A. Rs. 200 B. Rs. 100 C. Rs. 150 D. Rs. 400 Answer: Option B

Solution(By Apex Team)

$\begin{array}{l}\text{For 20% profit on selling price}\\ \text{means }\frac{1}{5}\ \text{of 3000}\ \text{i.e Rs. 600}\\ \text{Now, let the CP = Rs. 100}\\ \text{Then, SP with 20% profit = Rs. 120}\\ \text{For, 20% profit on selling price means}\\ \text{Cost is 100 + Profit is 20}\\ \text{= Selling Price is 120.}\\ \text{Means selling price is 120% of CP}\\ \text{Now, SP is 120% }\\ \text{i.e. 3000 then find 100 % amount which will be cost.}\\ \text{Cost = }\frac{3000}{120}\times100\\ =\frac{3000}{6}\times5\\ =2500\\ CP\ is\ 2500\\ \text{Profit is 20% i.e}\\ \frac{1}{5}\times2500\\ =500\\ \therefore\text{Difference}=600-500\\ =\ \text{Rs.}\ 100\\ \end{array}$

Related Questions on Profit and Loss

A. 45 : 56
B. 45 : 51
C. 47 : 56
D. 47 : 51

A. Rs. 2600
B. Rs. 2700
C. Rs. 2800
D. Rs. 3000

A sells an article to B at a profit of 10% B sells the article back to A at a loss of 10%. In this transaction:

A. A neither losses nor gains
B. A makes a profit of 11%
C. A makes a profit of 20%
D. B loses 20%