Profit and Loss Questions for CMAT

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Instructions
For the following questions answer them individually

Question 1

An article when sold for 960 fetches 20% profit.What would be the percent profit /loss if such 5 article are sold for Rs. 825/-each?

A 3.125 % profit

B 3.125 % loss

C Neither profit nor loss

D 16.5 % profit

E None of these

Answer: A

Explanation:
Let cost price of an article = Rs. 100x

If Selling price = Rs 960

960−100x
=> Profit % = 100x × 100 = 20
=> 960 − 100x = 20x

=> 20x + 100x = 120x = 960

960
=> x = 120 = 8

Thus, cost price of 1 article = 100 × 8 = Rs. 800

If selling price = Rs. 825

825−800
∴ Profit % = 800 × 100
25
= 8 = 3.125%
=> Ans - (A)

Question 2

The owner of an electronics shop charges his customers 22% more than the cost price .If the customer paid Rs 10,980 for DVD
player then the what was the cost price of that DVD?

A 8000

B 8800

C 9500

D 9200

E none of these

Answer: E

Explanation:
Let cost price = Rs.100x

Selling price = Rs. 10,980

10980−100x
=> Profit % = 100x × 100 = 22
=> 10980 − 100x = 22x

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=> 22x + 100x = 122x = 10980
10980
=> x = 122 = 90

∴ Cost price = 100 × 90 = Rs.9000

=> Ans - (E)

Question 3

An item was bought at Rs. X and sold at Rs. Y, there by earning a profit of 20%. Had the value of X been 15% less and the value of Y
been Rs. 76 less, a profit of 30% would have been earned. What was the value of ‘X’

A Rs. 640

B Rs.400

C Rs.600

D Rs.800

E Rs.840

Answer: D

Explanation:
C.P. = Rs.x

S.P. = Rs.y
y−x
Profit % = x × 100 = 20
y−x 20 1
=> x = 100 = 5

=> 5y − 5x = x => 6x = 5y
6x
=> y = 5 -----------(i)

If, value of X been 15% less and the value of Y been Rs. 76 less
85 17x
=> x′ = 100 × x = 20

=> y′ = y − 76
y′−x′
Profit % = x′ × 100 = 30
17x
(y−76)−( 20 )
17x 30 3
=> 20 = 100 = 10

17x 17x
=> 10 × [(y − 76) − ( 20 ] = 3 × 20
170x 51x
=> 10y − 760 − 20 = 20
221x
=> 10y − 20 = 760

Using, equaiton (i), we get :

6x 221x
=> (10 × 5 ) − 20 = 760
221x
=> 12x − 20 = 760
19x
=> 20 = 760
20
=> x = 760 × 19

=> x = 40 × 20 = Rs.800

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Question 4

Shri Ramlal purchased a TV set for Rs. 12,500 and spent Rs. 300 on transportation and Rs. 800 on installation. At what price should
he sell it so as to earn an overall profit of 15% ?

A Rs. 14,560

B Rs. 14,375

C Rs. 15,460

D Rs. 15,375

E None of these

Answer: E

Explanation:
Cost price of TV = Rs. 12,500

Amount spent on transportation = Rs. 300 and installation = Rs. 800

Net spent = Rs. (12500 + 300 + 800) = Rs. 13,600

Let selling price = Rs.x

x−13600
Profit % = 13600 × 100 = 15
=> x − 13600 = 15 × 136

=> x = 2040 + 13600

=> x = Rs. 15, 640

=> Ans - (E)

Question 5

A trader sells an item to a retailer at 20% discount, but charges 10% on the discounted price, for delivery and packaging. The retailer
sells it for Rs. 2046 more, thereby earning a profit of 25%. At what price had the trader marked the item?

A Rs. 9400

B Rs. 9000

C Rs. 8000

D Rs. 12000

E Rs. 9300

Answer: E

Explanation:
Let Marked price of item = Rs.100x
80 110
=> Selling price of trader = Cost price of retailer = 100x × 100 × 100

= Rs.88x

Selling price of retailer = Rs.(88x + 2046)

(88x+2046)−88x
Profit % = 88x × 100 = 25
2046 25 1
=> 88x = 100 = 4
2046×4
=> x = 88 = 93

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∴ Marked price = 100 × 93 = Rs.9, 300
Question 6

A starts a business with Rs. 2500. After one month from the start of the business, B joined with Rs. 4500 and A withdrew completely
after eleven months from the start of the business. If the difference between A’s and B’s respective shares in the annual profit was
Rs. 4800, what was the annual profit earned?

A Rs. 14800

B Rs. 16800

C Rs. 14400

D Rs. 11400

E Rs. 15600

Answer: B

Explanation:
Amount invested by A = Rs. 2500 and by B = Rs. 4500

Both invested for 11 months.

Ratio of profit shared by A and B

= (2500 × 11) : (4500 × 11)

=5 : 9

Let total profit earned by A and B respectively = Rs.5x and Rs.9x

=> 9x − 5x = 4800
4800
=> x = 4 = 1200
∴ Total profit = 9x + 5x = 14x
= 14 × 1200 = Rs.16, 800

Question 7

Raghuvir bought 10 calculators and 16 watches for Rs. 56000 and sold them at an overall profit of 20%. At what price should he sell
15 calculators and 24 wathces so that he receives the same percentage of profit ?

A 100980

B 116176

C 121176

D 100800

E 124132

Answer: D

Explanation:
Total S.P. of 10 calculators and 16 watches
120
= 56, 000 × 100 = Rs. 67, 200
3
Multiplying by 2

=> S.P. of 15 calculators and 24 watches

3
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 3
= 67, 200 × 2 = Rs. 1, 00, 800

Question 8

There are two motor cycles' (A and B) of equal cost price. Motorcycle A was sold at a profit of 14% and motorcycle B was sold for
Rs.4,290/​ more than its cost price. The net profit earned after selling both the motor cycles (A and B) is 20%. What is the cost price
of each motorcycle ?

Rs.
A
16,500/​

Rs.
B
16,000/​

Rs.
C
15,500/​

Rs.
D
17,500/​

Rs.
E
17,000/​

Answer: A

Explanation:
Cost price of both A and B be X.
SP of A = 1.14 CP of A
SP of B = CP of B + 4290
Net profit after selling both bikes is 20%
1.2 (X+X) = SP of A +SP of B
1.2 (X+X) = 1.14 CP of A + CP of B + 4290 = 1.14X + X + 4290
2.4X = 2.14 X + 4290
0.26 X =4290
X = 16,500
Option A is the correct answer.

Question 9

A wholesaler blends two varieties of tea, one costing Rs. 60 per kilogram and another costing Rs. 105 per kilogram. The respective
ratio of quantities they were mixed in was 7 : 2. If he sold the mixed variety at Rs. 100 per kilogram, how much was his profit
percentage ?

2
A 34 7

2
B 38 5
2
C 32 5
6
D 42 7
6
E 48 7

Answer: D

Explanation:
Let wholesaler mixed 7 kg and 2 kg of tea of variety 60 Rs/kg and 105 Rs/kg respectively.
Cost of tea of variety 60 Rs/kg= 60 × 7.
=Rs. 420.
Cost of tea of variety 105 Rs/kg =105 × 2.
=Rs. 210.

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Total cost=420+210.
=630.
Selling price=9 × 100.
=900.
900−630
Profit percentage= 630 × 100.
300
= 7 .
6
=42 7 .
Hence, Option D is correct.

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Question 10

A, B and C start a small business. A contributes 1/5th of the total capital invested in the business. B contributes as much as A and C
together. Total profit at the end of the year was Rs. 5,200. What was C’s profit share ? (in Rupees)

A 1510

B 2510

C 1500

D 2560

E 1560

Answer: E

Explanation:
Let total contribution by A,B and C be'5x'.
1
A's contribution= 5 × 5x.
=x.
Let B's contribution be 'y'
A's contribution+B's contribution+C's contribution=5x.
x+y+C's contribution=5x.
C's contribution=4x-y.
It is given that,
A's contribution+C's contribution=B's contribution.
x+4x-y=y.
5x=2y.
A's contribution=x.
B's contribution=5x/2.
C's contribution=4x-5x/2=3x/2.
5 3
A's contribution:B's contribution:C's contribution=1 : 2 : 2
=2:5:3.
Since time for contribution is same, therefore, their profit share must be in ratio of their contribution.
Total profit=5200.
3
C's profit= 10 × 5200.
=1560.
Hence, Option E is correct.

Question 11

The cost price of an item is two-third of its selling price. What is the gain/loss percent on that item?

A 45

B 50

C 35

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D 54

E None of these

Answer: B

Explanation:
Given that ,
2
Cost price (cp) = 3 selling price(sp)

Clearly, selling price is more than cost price. Hence it is a GAIN .

Gain% = [(sp - cp)/ cp] * 100
= [(sp/cp) -1] * 100
34
= ( 3 - 1 ) * 100
= 50

Question 12

Mehul sold an item for Rs. 5.025 and incurred a loss of 25% At what price should he have sold the item to have gained a profit of 25%
?

A Rs. 8.375

B Rs. 10,500

C Rs. 8,250

D Cannot be determined

E None of these

Answer: A

Explanation:
Mehul Selling Price = Rs.5.025
Loss = 25%
Using S.P=C.P(1-(loss/100)) ,
We get S.P = 0.75C.P
=> C.P = Rs.6.7

Now again,
S.P=C.P(1+(profit/100))
Profit=25 % and C.P.=6.7
We get S.P = 1.25*6.7
S.P=Rs. 8.375

Option A is the right answer.

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Question 13

Sujit incurred a loss of 45 percent on selling art article for Rs. 3,740. What was the cost price of the article ?

A Rs. 5,725

B Rs. 5,080

C Rs. 6,250

D Rs. 6,400

E None of these

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 Answer: E

Explanation:
Loss = 45%
=>0.55 ∗ Cost price = 3, 740

3740
Cost price = 0.55 = 6800
Hence, option E is the right answer.

Question 14

A seller marks the price 50% above the cost price and gives 10% discount on an item.While selling, he cheats customer by giving
20% less in weight. Find his overall profit percent (approximate) ?

A 26%

B 65%

C 68%

D 72%

E 76%

Answer: C

Explanation:
Let the cost price be Rs 100 and amount of product be 100 gm

Now there is 50% markup so the marked price becomes Rs 150

Now after 10% discount on Marked price the selling price = Rs (150 - 15) = Rs 135

Now it is said that he only sale 80 % of the quantity So,

he is selling 80 gm in 135 Rs which means SP of 1 gm is = Rs 1.6875

Cost price of 1 gm = Rs 1

So profit percentage is 68.75 % ~ 68%

Question 15

A DVD player was purchased for Rs 4,860. At what price should it be sold so that 25% profit is earned ?

A Rs 6,225

B Rs 6,275

C Rs 6,075

D Rs 6,025

E None of these

Answer: C

Explanation:
The cost price of the DVD player is 4860.
The profit percentage is 25%

Hence, the selling price is 4860 * 125% = 6075

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Question 16

Maria earned a profit of 30% on selling an article for Rs 6110. What was the cost price of the article ?

A Rs 5725

B Rs 4080

C Rs 5250

D Rs 4400

E None of these

Answer: E

Explanation:
Let the cost price of the article be C.
As the profit percentage is 30%, the selling price of the article is 1.3C

But, 1.3C = 6110

So, C = 6110/1.3 =Rs. 4700

As this is not given in the options, the correct answer is option (e)

Question 17

2 persons start a business with an amount of 12000 and 15000 respectively and 3 months later a third person joins them with an
amount of 20000. What will be the ratio in which the profit will be distributed at the end of the year?

A 4:6:7

B 4:1:3

C 4:4:3

D 4:5:5

E 4:7:6

Answer: D

Explanation:
As we know that the profit will be distributed in the ratio of (money invested)*(Duration for which money was invested).

Hence, Ratio will be = 12000*12 : 15000*12 : 20000*9 = 4:5:5

Question 18

If SP = Rs. 84, % gain = 20%, then CP =?

A Rs. 60

B Rs. 65

C Rs. 70

D RS. 75

E None of these

Answer: C

Explanation:
CP = (100×SP)/((100+gain%))=(100×84)/120= Rs. 70

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Question 19

Seema bought 20 pens, 8 packets of wax colours, 6 calculators and 7 pencil boxes, The price of one pen is Rs. 7, one packet of wax
colour is for Rs. 22, one calculator is for Rs.175 and one pencil box costs Rs. 14 more than the combined price of one pen and one
packet of wax colours. How much amount did Seema pay to the shopkeeper?

A Rs. 491

B Rs. 1,725

C Rs. 1,667

D Rs. 1,527

E None of these

Answer: C

Explanation:
Total amount = 20 x 7 + 8 x 22 + 6 x 175 + 7 x 43
= 140 + 176 + 900 + 301
= Rs1,667

Question 20

Three men A, B and C start a business together. They invest Rs30000, Rs24000 and Rs42000 respectively in the beginning. After 4
months. B took out Rs6000 and C took out Rs10000. They get a profit of Rs11960 at the end of the year, B’s share in the profit
(approximately) is

A Rs2700

B Rs2803

C Rs2900

D Rs2790

E None of these

Answer: B

Explanation:
The profits are divided in the ratio of [Investment X time period]
So, this number for A is 30k X 12 = 360k
For B it is 24k X 4 + 18k X 12 = 240k
For C it is 42k X 4 + 32k X 8 = 424k
240
So, B's share in the profit will be 360+240+424 × 11960 = 2803.125 ≈ 2803

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