Multiple choice

The ratio of the cost prices of articles A and B is 4 : 5 respectively and that of their selling prices is 7 : 6 respectively. If the profit on selling article A is 40%, then what is the profit / loss percentage on selling article B?

  1. 8% profit

  2. 8% loss

  3. 4% profit

  4. 4% loss

  5. None
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let CP of A be 4x and B be 5x. SP of A is 7y and B is 6y. Profit on A is 40%, so 7y = 1.4 * 4x, which means 7y = 5.6x, so y = 0.8x. SP of B is 6 * 0.8x = 4.8x. Since CP is 5x and SP is 4.8x, the loss is 0.2x. Loss percentage = (0.2x / 5x) * 100 = 4%.

AI explanation

Assume the cost prices of articles A and B are 400 Rs and 500 Rs respectively based on the 4 to 5 ratio. The selling price of A is 140% of 400, which is 560 Rs. Since the selling prices are in a 7 to 6 ratio, the selling price of B is calculated as 560 multiplied by 6 and divided by 7, giving 480 Rs. Comparing this selling price of 480 Rs to the cost price of 500 Rs shows a loss of 20 Rs, which is a 4% loss.

Keep practicing — related questions