Multiple choice

A person buys two pairs of shoes from a wholesale market at different prices and sells in the local market at the same prices. On one pair of shoes, he makes a profit of 5% while on the other, he loses 5%. What is the total gain or loss percent?

  1. 0.25% gain

  2. 0.25% loss

  3. 0.5% loss

  4. 0.5% gain

  5. None of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

When two items are sold at the same price, one at x% profit and one at x% loss, the overall result is always a loss of (x/10)^2 percent. Here x = 5, so loss = (5/10)^2 = 0.5^2 = 0.25% loss.

AI explanation

When two articles are sold at the same selling price but at equal percentage profit and loss, there is always a net loss. By the net loss percentage formula, loss percentage equals (common gain or loss / 10) squared. Applying the values, the loss is (5 / 10) squared, which is 0.25 percent. The result is 0.25% loss.

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