Profit and Loss

This guide breaks down the Profit and Loss chapter from your PDF for SSC and other competitive exams, using simple language, step-by-step formulas, practical examples, a cheatsheet, solved practice questions, and visual aids.

1. Key Concepts and Definitions

2. Essential Formulas Cheatsheet

3. Visuals & Graphics

A. Profit and Loss Flowchart

                +-----------------+
                |   Cost Price    |
                +-----------------+
                         |
      +------------------+------------------+
      |                                     |
+-----------+                         +-----------+
| Selling   |                         | Marked    |
| Price     |                         | Price     |
+-----------+                         +-----------+
      |                                     |
      |                                     |
+-----------+                         +-----------+
| Profit or |                         | Discount  |
| Loss      |                         +-----------+
+-----------+

B. Example Bar Chart

CP: |========| (Rs. 100)
SP: |==========| (Rs. 120)
Profit: |==| (Rs. 20)

4. Solved Examples

Example 1: Profit Calculation

A shopkeeper buys a pen for Rs. 8 and sells it for Rs. 10.

• Profit = SP - CP = 10 - 8 = Rs. 2
• Profit % = (2/8) × 100 = 25%

Example 2: Loss Calculation

A shopkeeper buys juice cans for $30 each, sells at $20 each.

• Loss = CP - SP = 30 - 20 = $10
• Loss % = (10/30) × 100 = 33.33%

Example 3: Discount and Marked Price

Marked Price = Rs. 135, Discount = Rs. 27, Find Discount %.

• Discount % = (27/135) × 100 = 20%

Example 4: Successive Profits

Two successive profits of 20% and 10%: Net Profit % = 20 + 10 + (20×10)/100 = 32%

Example 5: Cost Price from SP and Profit %

SP = Rs. 1140, Loss = 5%. What SP for 5% profit?

• CP = 1140 / 0.95 = Rs. 1200
• SP for 5% profit = 1200 × 1.05 = Rs. 1260

5. Common Tricks and Shortcuts

• If cost price of ‘a’ articles = selling price of ‘b’ articles:

• If a person sells two articles at the same price, one with a% gain and other with a% loss:

• For false weight (dishonest trader):

6. Practice Questions with Answers

1. A shopkeeper marks his goods 35% above cost and allows 20% discount. What is his profit % if he wants an 8% gain? Answer: 20% discount needed for 8% gain.
2. A person sells a watch at Rs. 1140 and loses 5%. At what price should he sell to gain 5%? Answer: Rs. 1260
3. If CP of 12 bananas = SP of 8 bananas, find gain %. Answer: 50%
4. Bananas bought at 6 for Rs. 5, sold at 5 for Rs. 6. Profit %? Answer: 44%
5. A man buys oranges at 8 for Rs. 34, sells at 12 for Rs. 57. How many must he sell to earn Rs. 45 profit? Answer: 90 oranges
6. A shopkeeper earns 12% profit selling a book at 10% discount on printed price. Ratio of CP to printed price? Answer: 45:56
7. A dealer sells two goods for Rs. 10,000 each, one at 20% loss, one at 20% gain. Net result? Answer: 4% loss
8. An article sold at Rs. 170, loses 15%. What price for 20% gain? Answer: Rs. 240
9. An article sold at 10% loss. If sold for Rs. 9 more, gain would be 12.5%. Find CP. Answer: Rs. 40
10. A sells a suitcase to B at 10% profit, B sells to C at 30% profit, C pays Rs. 2860. What was A’s cost price? Answer: Rs. 2000

7. Points to Remember

• Profit and loss % are usually calculated on cost price unless stated otherwise.
• Discount % is always on marked price.
• For successive discounts or profits, use compound formulas.
• Always check if the question gives profit/loss/discount on CP, SP, or MP.

8. Quick Reference Table

9. Real-Life Applications

• Shopping: Calculating discounts, comparing prices.
• Business: Setting selling prices for desired profit.
• Exams: Quick calculation of profit, loss, discount in word problems and DI sets.

With these explanations, formulas, solved examples, cheatsheet, practice questions, and visual aids, you’re ready to master Profit and Loss for any competitive exam!