A shopkeeper purchases a product for Rs.100 and sells it making a profit of 10%. The customer resells it to the same shopkeeper incurring a loss of 10%. In these dealings the shopkeeper makes
Rs.11
Shopkeeper's Profit Calculation Explained
Let's analyze the transactions step by step to determine the shopkeeper's total profit in these dealings.
Transaction 1: Shopkeeper sells to Customer
- The shopkeeper purchases the product for Rs. 100. This is the initial Cost Price (CP) for the shopkeeper.
- The shopkeeper sells the product making a profit of 10%.
- Profit amount on the first sale $=$ 10% of Rs. 100
- Profit amount $=$ $\frac{10}{100} \times 100 = \text{Rs. } 10$
- The Selling Price (SP) for the shopkeeper in the first transaction is CP $+$ Profit
- SP1 $=$ Rs. 100 $+$ Rs. 10 $=$ Rs. 110
- This Rs. 110 is the price the customer paid for the product.
Transaction 2: Customer resells to Shopkeeper
- The customer bought the product for Rs. 110. This is the Cost Price for the customer.
- The customer resells the product back to the same shopkeeper incurring a loss of 10%.
- Loss amount for the customer $=$ 10% of the customer's CP (Rs. 110)
- Loss amount $=$ $\frac{10}{100} \times 110 = \text{Rs. } 11$
- The Selling Price for the customer (which is the price the shopkeeper pays to buy it back) is Customer's CP $-$ Loss
- Customer's SP $=$ Rs. 110 $-$ Rs. 11 $=$ Rs. 99
- So, the shopkeeper buys the product back from the customer for Rs. 99. This is the Cost Price for the shopkeeper in the second transaction (CP2).
Shopkeeper's Total Profit in These Dealings
To find the shopkeeper's total profit from these two dealings, we need to look at the net money received and paid by the shopkeeper in the transactions involving the customer.
- In the first transaction, the shopkeeper received Rs. 110 from the customer.
- In the second transaction, the shopkeeper paid Rs. 99 to the customer to buy the product back.
The shopkeeper started with the product (initial cost Rs. 100) and ended up with the product again after the two transactions. The net financial outcome for the shopkeeper is the difference between the money received from the customer and the money paid back to the customer.
- Total money received by shopkeeper from customer dealings $=$ Rs. 110
- Total money paid by shopkeeper in customer dealings $=$ Rs. 99
- Net profit for the shopkeeper $=$ Total money received $-$ Total money paid
- Net profit $=$ Rs. 110 $-$ Rs. 99 $=$ Rs. 11
Therefore, in these dealings, the shopkeeper makes a profit of Rs. 11.
Important Questions from Profit and Loss
- Veer bought some sharpeners at the rate of ₹180/dozen. He sold them for ₹23 each. His profit percentage is ____ % (rounded off to two decimal places).
- A shopkeeper lists the price of a fan at 60% above its cost price and offers a 15% discount on its list price. If he earns a profit of ₹117, then what is the list price (in ₹) of the fan?
- The marked price of an article is ₹800. It is sold at two successive discounts of 24% and 15%, respectively. Find the selling price of the article.
- A discount of 13% on the marked price of an article is allowed and then the article is sold for ₹348. The marked price of the article is:
- A trader claims to sell grains at a profit of 29%, but also dishonestly uses a weight which is 13% less than what is mentioned on it. Find the total percentage of profit earned by the trader. (Round off the answer to the nearest whole number.)
