Level 1
Profit & Loss MCQs set 3 for OTS Sports Board Punjab / KPK Mathematics — 20 solved questions.
Q1. The price of a VCR is marked at Rs. 12,000. If successive discounts of 15%, 10% and 5% be allowed, then at what price does a customer buy it?
Answer: Rs. 8721
Explanation: The correct value is Rs. 8721. Apply the formula or arithmetic step shown in the question and
Q2. In a certain store, the profit is 320% of the cost. If the cost increases by 25% but the selling price remains constant, approximately what percentage of the selling price is the profit?
Answer: 70%
Explanation: If profit = 320% of cost, then SP = 4.2×CP; after a 25% cost rise, new profit = SP − 1.25×CP = 2.95×CP, which is about 70% of SP.
Q3. A shopkeeper loses 15%, if an article is sold for Rs. 102. What should be the selling price of the article to gain 20%?
Answer: Rs. 144
Explanation: If SP = Rs. 102 yields a 15% loss, CP = 102/0.85 = Rs. 120; for 20% gain, SP = 120 × 1.20 = Rs. 144.
Q4. The cost price of an article which on being sold at a gain of 12 % yields Rs. 6 more than when it is sold at a loss of 12 % is:
Answer: Rs. 25
Explanation: Selling at 12% gain gives 6 more than selling at 12% loss, so 0.24 × CP = 6, hence CP = Rs. 25.
Q5. A retailer buys a sewing machine at a discount of 15% and sells it for Rs. 1955. Thus, he makes a profit of 15%. The discount is:
Answer: Rs. 300
Explanation: The correct value is Rs. 300. Apply the formula or arithmetic step shown in the question and
Q6. A, B and C invested Rs.6300, Rs.4200 and Rs.10500 respectively, in a partnership business. Find the share of A in a profit of Rs.12100 after a year?
Answer: Rs0.36
Explanation: Investment ratio A:B:C = 6300:4200:10500 = 3:2:5. A's share = 3/10 × 12100 = Rs. 3630.
Q7. A began a business with Rs. 85,000. He was joined afterwards by B with Rs. 42,500. For how much period does B join, if the profits at the end of the year are divided in the ratio of 3 : 1?
Answer: 8 months
Explanation: A's investment-months = 85000×12 = 1020000; for a 3:1 profit ratio, B's share = 340000, so 42500×t = 340000, giving t = 8 months.
Q8. The difference between a single discount of 35% and two successive discounts of 20% on a certain bill was Rs. 22. What is the amount of the bill?
Answer: Rs. 2200
Explanation: The correct value is Rs. 2200. Apply the formula or arithmetic step shown in the question and
Q9. A, B and C started a business with capitals of Rs. 8000, Rs. 10000 and Rs. 12000 respectively. At the end of the year, the profit share of B is Rs. 1500. The difference between the profit shares of A and C is?
Answer: Rs. 600
Explanation: Capital ratio A:B:C = 8:10:12 = 4:5:6; B's share of 5/15 equals Rs. 1,500 so total profit = Rs. 4,500; C's share = Rs. 1,800 and A's = Rs. 1,200, giving a difference of Rs. 600.
Q10. An article costing Rs.84 was sold at a profit of 50%. The second purchaser sold it once again at a loss of 25%. At what price did he sell?
Answer: Rs.94.50
Explanation: The correct value is Rs.94.50. Apply the formula or arithmetic step shown in the question and
Q11. A shopkeeper buys two articles for Rs.1000 each and then sells them, making 20% profit on the first article and 20% loss on second article. Find the net profit or loss percent?
Answer: Neither profit nor loss
Explanation: Total cost = Rs. 2000. Revenue = 1000×1.20 + 1000×0.80 = 1200 + 800 = Rs. 2000. There is neither profit nor loss.
Q12. An umbrella marked at Rs. 80 is sold for Rs. 68. The rate of discount is:
Answer: 15%
Explanation: Discount = 80 − 68 = Rs. 12; discount rate = 12/80 × 100 = 15%.
Q13. A trader marks his goods at 50% above the cost price but allows a discount of 20% on the market price. The profit percent is:
Answer: 20%
Explanation: Mark-up to 150% of CP, then 20% discount gives SP = 1.5 × 0.8 × CP = 1.2 CP, a profit of 20%.
Q14. The ratio of investments of two partners P and Q is 7:5 and the ratio of their profits is 7:10. If P invested the money for 5 months, find for how much time did Q invest the money?
Answer: 10 months
Explanation: Profit ratio = (investment × time). 7×5 : 5×t = 7:10; solving 35/(5t) = 7/10 gives t = 10 months.
Q15. If Ali invests Rs. 4,000 and after seven months Salman invests Rs. 8,000 in the same business, and the total profit after one year is Rs. 2,200, what is Salman's share of the profit?
Answer: Rs. 1000
Explanation: The correct value is Rs. 1000. Apply the formula or arithmetic step shown in the question and
Q16. The marked price is 10% higher than the cost price. A discount of 10% is given on the marked price, in this kind of sale the seller:
Answer: Loses 1%
Explanation: The correct value is Loses 1%. Apply the formula or arithmetic step shown in the question and
Q17. A single discount equivalent to the discount series of 20%, 10% and 5% is_______?
Answer: 31.60%
Explanation: Successive discounts of 20%, 10%, and 5% give a net multiplier of 0.8×0.9×0.95 = 0.684, so the single equivalent discount is 31.6%.
Q18. A dealer professing to sell at cost price uses a 900 gms weight for a kilogram. His gain percent is:________?
Answer: 11.11%
Explanation: Selling 900 g as 1 kg at cost price gives gain% = (1000−900)/900 × 100 = 11.11%.
Q19. A man purchases an electric heater whose printed price is 160 if he received two successive discounts of 20% and 10% he paid:
Answer: Rs. 115.20
Explanation: After first discount of 20%: 160 × 0.80 = Rs. 128; after second discount of 10%: 128 × 0.90 = Rs. 115.20.
Q20. The cost price of an article is 64% of the marked price. Calculate the gain percent after allowing a discount of 12%. Profit-Loss
Answer: 37.50%
Explanation: With MP = 100, CP = 64, and SP after 12% discount = 88; profit% = (88−64)/64 × 100 = 37.5%.