Multiple choice

A company sells four different types of products: P, Q, R, and S. The cost price of product P is Rs. 5,000, that of product Q is Rs. 7,000, that of product R is Rs. 10,000, and that of product S is Rs. 12,000. The company sold 200 units of product P at a 15% profit, 150 units of product Q at a 10% loss, 120 units of product R at a 20% profit, and 80 units of product S at a 5% loss. Calculate the average profit earned per unit by the company by selling all four types of products.

  1. 121

  2. 231

  3. 371

  4. 431

  5. a

Reveal answer Fill a bubble to check yourself
D Correct answer
AI explanation

Calculate the total profit for each product by multiplying the units sold by the cost price and profit or loss percentage: P gives 200 x 5000 x 0.15 = 150000, Q gives 150 x 7000 x -0.10 = -105000, R gives 120 x 10000 x 0.20 = 240000, and S gives 80 x 12000 x -0.05 = -48000. Adding these together yields an overall profit of 150000 - 105000 + 240000 - 48000 = 237000. Divide this total profit by the sum of all units sold (200 + 150 + 120 + 80 = 550) to find the average profit per unit: 237000 / 550 is approximately Rs. 431.