Multiple choice

A carpenter buys wood for Rs. 2,500 and spends an additional Rs. 1,000 on tools. He builds furniture and sells it for a total of Rs. 5,000. What is the percentage profit or loss made by the carpenter?

  1. 42.86%

  2. 28.64%

  3. 86.24%

  4. 68.42%
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Total cost = 2500 + 1000 = 3500. Selling price = 5000. Profit = 1500. Profit percentage = (1500 / 3500) * 100 = (15/35) * 100 = (3/7) * 100 = 42.857%.

AI explanation

Using the total cost price formula, Total Cost Price = Purchase Price + Overhead Charges, the total cost is 2500 + 1000 = Rs. 3,500. The selling price is Rs. 5,000, resulting in a profit of 5000 - 3500 = Rs. 1,500. Applying the profit percentage formula, Profit Percentage = (Profit / Total Cost Price) x 100, we get (1500 / 3500) x 100, which equals 42.86%.

Keep practicing — related questions