# Profit And Loss Important facts

Cost Price : The price at which any article is purchased is called its cost price, abbreviated as C.P.

Selling Price : The price, at which an article is sold, is called its selling prices, abbreviated as S.P.

Profit : If Selling Price is greater than Cost Price then seller makes profit.

Profit = SP – CP

Loss : If Cost Price is greater than Selling Price then seller incurs loss.

Loss = CP – SP

• If an article is sold at a gain of 50%, than it means  then S.P. = 150% of C.P.
• If an article is sold at a loss of 40% then S.P. = 60% of C.P.

Important Formulae

Gain Percentage (Gain %) Loss Percentage (Loss %) Selling Price (S.P.) in case of loss % Selling Price (S.P.) in case of gain % Cost Price (C.P.) in case of gain % Cost Price (C.P.) in case of loss % Quicker approach for tricky problems :

Rule 1: When a person sells two similar items, one at a gain of say x%, and the other at a loss of x% than theloss incurred by the seller is given by

Loss % = Rule 2 : If a trader professes to sell his goods at cost price, but uses false weights, then :

Gain % = Rule 3 : If there are two successive profits of R1% and R2% then total profit % = Rule 4 : If there  is a profit of R1% and loss of R2% then total profit or loss % = Rule 5 : If the cost price of P article is equal to selling price of Q article where P>Q, then profit % : Rule 6 : If a person marks his article P% above it's cost price and gives customers a discount of Q% then net profit of loss % is : Practice Questions
Q1
Q.no:-1/5