Multiple choice

Directions: Select the correct alternative from the given choices. Manohar bought 236 pens at a certain price. If he then sold all the pens at a fixed selling price each, such that he was able to recover his investment from the revenue obtained by selling exactly 200 pens, find his profit percentage.

  1. 18%

  2. 24%

  3. 36%

  4. Cannot be determined
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Cost of 236 pens = 236 * CP. Revenue from 200 pens = 200 * SP. Since 236 * CP = 200 * SP, SP/CP = 236/200 = 1.18. Profit % = (1.18 - 1) * 100 = 18%.

AI explanation

Let the cost price of one pen be Rs. 1, making the total investment for 236 pens equal to Rs. 236. The problem states he recovers this investment by selling 200 pens, so the selling price of each pen is 236 / 200 = Rs. 1.18. Using the profit percentage formula, Profit Percentage = ((Total Selling Price - Total Cost Price) / Total Cost Price) * 100, and knowing he sells all 236 pens at this price, the total revenue is 236 * 1.18 = Rs. 278.48. The profit percentage is therefore ((278.48 - 236) / 236) * 100 = 18%.

Keep practicing — related questions