Multiple choice

A property dealer sells a site for 6,30,000 and makes a profit of 5%. Had he sold it for. 5,00,000, then the percentage of profit or loss he would have made is

  1. $\displaystyle2\frac{1}{4}\%$ gain

  2. 10% loss
  3. $\displaystyle12\frac{1}{2}\%$ loss
  4. $\displaystyle16\frac{2}{3}\%$ loss
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Cost price = 630000 / 1.05 = 600000. If sold for 500000, the loss is 600000 - 500000 = 100000. Loss percentage = (100000 / 600000) * 100 = 100/6 = 16.66% or 16 2/3%.

AI explanation

Using the formula cost price equals selling price divided by 1.05, the cost price is 630000 divided by 1.05, which is 600000. If the property is sold for 500000, the loss is 100000. Applying the loss percentage formula, 100000 divided by 600000 multiplied by 100 gives a loss of 16 and 2/3 percent.

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