BANK & INSURANCE (PROFIT LOSS AND DISCOUNT) PART 1

Total Questions: 70

1. Each of Vishal and Param sold their article at Rs. 1818 but Vishal incurred a loss of 10% while Param gained by 1%. What is the ratio of cost price of the articles of Vishal to that of Param?

Correct Answer: (a) 101:90
Solution:Let the CP of the articles of Vishal and Param be x and y respectively.
So 90% of x = 1818, x = (1818x100)/90
And 101% of y = 1818, y = (1818x100)/101
Required ratio = 101/90

2. A shopkeeper offers two successive discounts of 15% and 20% on an article and is still able to earn 70% profit. If he offers only 30% discount what will be his profit percentage?

Correct Answer: (d) 75%
Solution:Total discount = 15 × 20 = 300/100 = 32%
Let C.P = Rs. 100
S.P = Rs.170
Labelled price = 170/(100-32)% = Rs. 250
If he offers 30% discount, S.P = 250 - (30% of 250)
= Rs. 175
Profit % = (175-100)/100 × 100 = 75%

3. A merchant bought 60 sheep at Rs. 120 per sheep. He sold 40 of them at Rs. 150 each. 10 of them died. What should be the selling price of the remaining sheep, if he wants a profit of Rs. 800?

Correct Answer: (b) Rs. 200
Solution:Cost on 40 sheep = 40 × 120 = Rs. 4800
Profit on selling 40 sheep = Rs.1200
Loss on death of 10 sheep = Rs.1200
In order to earn Rs. 800 as profit, he should sell remaining 10 sheep at (10 × 120) + 800
= Rs.2000
S.P per sheep = Rs. 2000/10 = Rs. 200

4. At what price should a shop keeper mark a radio that costs him Rs. 1200 in order that he may offer a discount of 20% on the marked price and still make a profit of 25%?

Correct Answer: (b) 1875
Solution:CP = Rs. 1200. SP = 125% of CP = Rs. 1500
Let marked price be Rs. x. Then, 80% of x = 1500
x = 1875

5. A retailer bought 50 kg of Arhar Dal at a discount of 20%. Besides 2 kg dal was freely offered to him by the wholesaler at the purchase of 50 kg. Now he sells the dal at the marked price to a customer. What is the profit percentage of the retailer?

Correct Answer: (a) 30%
Solution:Let MP of 1 kg of dal be Re. 1
So, CP of 50 kg dal = Rs. 50 × (0.8) = 40
And therefore, CP of 52 kg is Rs.40
SP of 52 kg = Rs. 52
Profit percentage = 12/40 × 100 = 30%.

6. A shopkeeper sells two watches for Rs. 308 each. On one he gets 12% profit and on the other 12% loss. His profit or loss in the entire transaction was

Correct Answer: (a) Loss of 1 11/25%
Solution:Cost price of first watch = 308/1.12 = Rs. 275
Cost price of second watch = 308/0.88 = Rs. 350
Total cost price of two watches = 275 + 350
= Rs. 625
Total selling price of two watches = 308 + 308
= Rs. 616
Loss % = 9/625 × 100 = (36/25)%
= 1 (11/25)% loss

7. Shyamji sold a commodity at a loss of 2%. If he has been able to sell it at a profit of 10% he would have fetched Rs. 12000 more than what he did. What was the cost price of the commodity?

Correct Answer: (b) Rs. 1 lakh
Solution:

Let cp = 100
At a loss of 2%, SP = 98
If sold at a profit of 10%, SP = 110
Difference = 12

Rs. 12 is the difference, when CP is Rs. 100
Rs. 12000 is the difference, when CP is Rs. 100 × (12000/12) = Rs. 1 lakh

8. A seller sells his goods at 20% profit. Had he bought it at 10% more and sold it for Rs. 140 more, he would have earned a profit of 25%. Find the cost price of the goods.

Correct Answer: (d) Rs. 800
Solution:

Let the cost price of the goods be x.
selling price = 6x/5
Now, new cost price = 11x/10 and new selling price
= (6x/5 + 140)
We can write,
(11x/10 × 5/4) = (6x/5 + 140)
11x/8 - 6x/5 = 140
x = 800

9. A shopkeeper allows two successive discounts of 10% and 5% on the marked price of an article but charges a sales tax of 5% on the discounted price. If a customer pays Rs.1436.40 as including the sales tax, then what is the marked price?

Correct Answer: (d) Rs.1600
Solution:Let Marked price = Rs.100
Amount paid by customer
= [(100-10%) × 95%] × 105% = 89.775%
Marked price = 1436.40/89.775% = Rs.1600

10. A shopkeeper buys a dozen of bananas for Rs.15 out of which 4 Bananas were found to be rotten and could not be sold. He sold the remaining bananas and earned an overall profit of 20%. For how much did the shopkeeper sell 4 bananas which were not rotten?

Correct Answer: (a) Rs. 9
Solution:Number of bananas that are sold = 12-4 = Rs. 8
Total cost price for the shopkeeper = Rs. 15
Overall profit = 20%
So selling price of the 8 bananas = 15 × 1.2 = 18
Therefore, Price for 4 bananas = Rs 9