Finding Profit or Loss

We will solve different types of problems on finding profit or loss.

We know, when Selling Price (S.P.) is greater than the Cost Price (C.P.) we have a gain (Profit) and when Cost Price (C.P.) is greater than the Selling Price (S.P.) we have a loss.

General formula to find whether there is profit or loss:

Profit or Gain = S.P. - C.P. = Selling Price - Cost Price

Loss = C.P. - S.P. = Cost Price - Selling Price

Solved examples on finding profit or loss:

1. A shopkeeper buys a football for $ 150 and sells it at $ 210. What is his profit or loss?

Cost Price of foot ball = $ 150

Selling Price of foot ball = $ 210

210 > 150

As, S.P. > C.P.

So, he makes a profit

Profit = S.P. - C.P.

= $ (210 - 150)

= $ 60.

2. A merchant bought a table fan for $ 575 and sold for $ 500. Find the loss of the merchant in the transaction?

Cost Price of the table fan = $ 575

Selling Price of the table fan = $ 500

Loss = Cost Price - Selling Price

= $ (575 - 500)

= $ 75

Therefore, loss of the merchant is $ 75.

3. A man bought 360 eggs at $ 18 per dozen. 40 egg where broken and 20 egg were rotten. What would be his profit or loss if he sells the rest at $ 20 per dozen?

As 12 things makes a dozen,

He bought = (360 ÷ 12) dozen

= 30 dozen.

His cost price = $ 18 × 30 = $ 540

He sold total number of eggs = (360 - 40 - 20) = 300

Therefore, he sold = (300 ÷ 12) dozen eggs

= 25 dozen eggs.

His selling price = $ 25 × 20

= $ 500

As 500 < 540, that is S.P. < C.P.

He suffers a loss,

His loss = C.P. - S.P.