Profit and Loss are key concepts in financial mathematics, essential in various competitive exams and business scenarios. These concepts revolve around the calculation of the profit or loss made on a transaction. The profit or loss is determined by the difference between the selling price and the cost price. The understanding of these concepts is crucial for effective financial management and decision-making.

## 1. A shopkeeper buys a gadget for $150 and sells it for $180. What is the profit percentage?

a) 15%

b) 20%

c) 25%

d) 30%

### Answer:

b) 20%

### Explanation:

```
Cost Price (CP) = $150, Selling Price (SP) = $180.
Profit = SP - CP = $180 - $150 = $30.
Profit Percentage = (Profit / CP) * 100 = (30 / 150) * 100 = 20%.
```

## 2. If a television is sold at a loss of 10%, and the selling price is $540, what was its cost price?

a) $600

b) $590

c) $580

d) $570

### Answer:

a) $600

### Explanation:

```
Selling Price (SP) = $540, Loss Percentage = 10%.
Let Cost Price be CP. Loss = CP - SP.
10% of CP = CP - $540.
0.1 * CP = CP - 540.
CP = $600.
```

## 3. A retailer marks up a product by 40% above the cost price. If it is sold at a discount of 15%, what is the profit percentage?

a) 20%

b) 19%

c) 25%

d) 30%

### Answer:

b) 19%

### Explanation:

```
Let Cost Price (CP) = $100.
Marked Price (MP) = CP + 40% of CP = $100 + $40 = $140.
Selling Price (SP) after 15% discount = MP - 15% of MP = $140 - $21 = $119.
Profit = SP - CP = $119 - $100 = $19.
Profit Percentage = ($19 / $100) * 100 = 19%.
```

## 4. A book is bought for $250 and sold at a loss of 8%. What is the selling price of the book?

a) $230

b) $225

c) $220

d) $210

### Answer:

a) $230

### Explanation:

```
Cost Price (CP) = $250, Loss Percentage = 8%.
Loss = 8% of CP = 0.08 * $250 = $20.
Selling Price (SP) = CP - Loss = $250 - $20 = $230.
```

## 5. A trader sells two smartphones for $1200 each. On one, he gains 20% and on the other, he loses 20%. What is the total gain or loss percentage?

a) 2% loss

b) No profit no loss

c) 2% gain

d) 4% loss

### Answer:

a) 2% loss

### Explanation:

```
Selling Price of each smartphone = $1200.
For 20% profit, CP = SP / (1 + Profit%) = $1200 / 1.20 = $1000.
For 20% loss, CP = SP / (1 - Loss%) = $1200 / 0.80 = $1500.
Total CP = $1000 + $1500 = $2500, Total SP = $1200 + $1200 = $2400.
Loss = Total CP - Total SP = $2500 - $2400 = $100.
Loss Percentage = ($100 / $2500) * 100 = 2%.
```

## 6. A shopkeeper sells a shirt at a profit of 15%. If the selling price is $230, what was the cost price?

a) $200

b) $210

c) $195

d) $220

### Answer:

a) $200

### Explanation:

```
Selling Price (SP) = $230, Profit Percentage = 15%.
Let Cost Price be CP. Profit = SP - CP.
15% of CP = $230 - CP.
0.15 * CP = $230 - CP.
CP = $230 / 1.15 = $200.
```

## 7. An article is sold at a loss of 25%. If the selling price is $150, find the cost price.

a) $180

b) $190

c) $200

d) $210

### Answer:

c) $200

### Explanation:

```
Selling Price (SP) = $150, Loss Percentage = 25%.
Let Cost Price be CP. Loss = CP - SP.
25% of CP = CP - $150.
0.25 * CP = CP - 150.
CP = $150 / 0.75 = $200.
```

## 8. A shopkeeper marks his goods 30% above the cost price and then gives a discount of 10%. What is his profit percent?

a) 17%

b) 20%

c) 21%

d) 23%

### Answer:

a) 17%

### Explanation:

```
Let Cost Price (CP) = $100.
Marked Price (MP) = CP + 30% of CP = $100 + $30 = $130.
Selling Price (SP) after 10% discount = MP - 10% of MP = $130 - $13 = $117.
Profit = SP - CP = $117 - $100 = $17.
Profit Percentage = ($17 / $100) * 100 = 17%.
```

## 9. A man buys an item for $1200 and sells it at a loss of 15%. What is the selling price of the item?

a) $960

b) $1020

c) $1080

d) $1140

### Answer:

b) $1020

### Explanation:

```
Cost Price (CP) = $1200, Loss Percentage = 15%.
Loss = 15% of CP = 0.15 * $1200 = $180.
Selling Price (SP) = CP - Loss = $1200 - $180 = $1020.
```

## 10. A dealer sells an article for $540 and makes a profit of 20%. What would be the profit percentage if it were sold for $630?

a) 25%

b) 30%

c) 35%

d) 40%

### Answer:

c) 35%

### Explanation:

```
Cost Price (CP) = SP / (1 + Profit%) = $540 / 1.20 = $450.
New Selling Price (SP) = $630.
Profit = New SP - CP = $630 - $450 = $180.
Profit Percentage = ($180 / $450) * 100 = 35%.
```

## 11. A retailer buys a radio for $400 and sells it for $520. What is the profit percentage?

a) 25%

b) 30%

c) 20%

d) 35%

### Answer:

b) 30%

### Explanation:

```
Cost Price (CP) = $400, Selling Price (SP) = $520.
Profit = SP - CP = $520 - $400 = $120.
Profit Percentage = (Profit / CP) * 100 = (120 / 400) * 100 = 30%.
```

## 12. If a car is sold for $15,000 with a profit of 25%, what is the cost price of the car?

a) $12,000

b) $11,500

c) $12,500

d) $10,000

### Answer:

a) $12,000

### Explanation:

```
Selling Price (SP) = $15,000, Profit Percentage = 25%.
Cost Price (CP) = SP / (1 + Profit%) = 15000 / 1.25 = $12,000.
```

## 13. A shopkeeper marks up a book by 50% above its cost price. If he sells it at a discount of 20%, what is the profit or loss percentage?

a) 10% profit

b) 10% loss

c) 20% profit

d) No profit no loss

### Answer:

a) 10% profit

### Explanation:

```
Let Cost Price (CP) = $100.
Marked Price (MP) = CP + 50% of CP = $100 + $50 = $150.
Selling Price (SP) after 20% discount = MP - 20% of MP = $150 - $30 = $120.
Profit = SP - CP = $120 - $100 = $20.
Profit Percentage = ($20 / $100) * 100 = 10%.
```

## 14. An article is bought for $500 and sold at a profit of 15%. What is the selling price?

a) $575

b) $550

c) $525

d) $600

### Answer:

a) $575

### Explanation:

```
Cost Price (CP) = $500, Profit Percentage = 15%.
Selling Price (SP) = CP + Profit = $500 + 15% of $500 = $500 + $75 = $575.
```

## 15. A shopkeeper suffers a 10% loss by selling a toy for $180. At what price should he sell the toy to gain a 10% profit?

a) $220

b) $200

c) $210

d) $230

### Answer:

a) $220

### Explanation:

```
Selling Price for 10% loss = $180.
Cost Price (CP) = Selling Price / (1 - Loss%) = $180 / 0.90 = $200.
Selling Price for 10% profit = CP + 10% of CP = $200 + $20 = $220.
```

## 16. A person sells two watches for $200 each. On one he gains 25% and on the other he loses 25%. What is his overall gain or loss percent?

a) 6.25% loss

b) 6.25% gain

c) No gain no loss

d) 5% loss

### Answer:

a) 6.25% loss

### Explanation:

```
Selling Price of each watch = $200.
For 25% profit, CP = SP / (1 + Profit%) = $200 / 1.25 = $160.
For 25% loss, CP = SP / (1 - Loss%) = $200 / 0.75 = $266.67.
Total CP = $160 + $266.67 = $426.67, Total SP = $200 + $200 = $400.
Loss = Total CP - Total SP = $426.67 - $400 = $26.67.
Loss Percentage = ($26.67 / $426.67) * 100 ≈ 6.25%.
```

## 17. If a bicycle is sold for $480 with a profit of 20%, what is its cost price?

a) $360

b) $400

c) $420

d) $450

### Answer:

b) $400

### Explanation:

```
Selling Price (SP) = $480, Profit Percentage = 20%.
Cost Price (CP) = SP / (1 + Profit%) = $480 / 1.20 = $400.
```

## 18. A merchant sells an item at a 10% discount on the marked price and makes a 20% profit. If the selling price is $360, what is the marked price?

a) $400

b) $420

c) $450

d) $480

### Answer:

a) $400

### Explanation:

```
Selling Price (SP) = $360, Profit Percentage = 20%.
Cost Price (CP) = SP / (1 + Profit%) = $360 / 1.20 = $300.
Marked Price (MP) = SP / (1 - Discount%) = $360 / 0.90 = $400.
```

## 19. A trader marks his goods 25% above his cost price and allows a discount of 10%. If the cost price is $500, what is the selling price?

a) $550

b) $562.50

c) $575

d) $600

### Answer:

b) $562.50

### Explanation:

```
Cost Price (CP) = $500.
Marked Price (MP) = CP + 25% of CP = $500 + $125 = $625.
Selling Price (SP) = MP - 10% of MP = $625 - $62.50 = $562.50.
```

## 20. A book is bought for $320 and sold at a profit of 25%. What is the selling price of the book?

a) $380

b) $390

c) $400

d) $420

### Answer:

c) $400

### Explanation:

```
Cost Price (CP) = $320, Profit Percentage = 25%.
Profit = 25% of CP = 0.25 * $320 = $80.
Selling Price (SP) = CP + Profit = $320 + $80 = $400.
```