Correct Answer - Option 1 : 8.5%, profit
Given:
A person sells an article at a profit of 20%.
If he had bought it for 20% less and sold it for Rs.180 less, he would have profit 25%.
Formula used:
Profit = SP - CP
Profit% = Profit/CP × 100
Loss = CP - SP
Loss% = Loss/CP × 100
Calculation:
Let the original CP of the article be Rs. x
Profit% = 20%
SP of the article = Rs. (120x/100)
⇒ 6x/5
If CP = 80x/100 = 4x/5
SP = (6x/5) - 180
Then gain% = 25%
⇒ (6x/5) - 180 = 125 × 4x /(5 × 100)
⇒ 6x/5 - x = 180
⇒ x = Rs. 900
Now,
The original CP of the article = Rs. 900
The original SP of the article = Rs. 976.50
SP > CP, then,
Profit = Rs. (976.50 - 900) = Rs. 76.5
Profit % = (76.5 × 100)/900 = 8.5%
∴ The profit percentage is 8.5%.