Single correct option
A trader sells two articles for Rs 990 each. On one he gains 10% and on the other he loses 10%. What is his overall result?
- A. No profit, no loss
- B. 1% loss
- C. 1% gain
- D. 2% loss
Show answer and solution
Answer: (B) 1% loss
Cost of the first article = 990/1.1 = 900. Cost of the second = 990/0.9 = 1100.
Total cost = 2000 and total sale = 1980, so the loss is 20, which is 20/2000 = 1% loss.
Shortcut: when two items are sold at the SAME price, one at x% gain and the other at x% loss, the result is always a loss of x²/100 %. Here that is 100/100 = 1%.
Total cost = 2000 and total sale = 1980, so the loss is 20, which is 20/2000 = 1% loss.
Shortcut: when two items are sold at the SAME price, one at x% gain and the other at x% loss, the result is always a loss of x²/100 %. Here that is 100/100 = 1%.
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