Determining Ram's Watch Profit Percentage
This question asks us to calculate the total profit or loss percentage Ram experienced. We need to find out how much profit he made relative to the price he actually paid for the watch.
Step 1: Calculate Ram's Purchase Cost
First, let's establish a baseline for the watch's cost. We can assume the Original Cost (OC) is 100 units. Ram bought the watch for $\frac{9}{10}^{th}$ of this amount.
Ram's actual Purchase Cost (CP) is calculated as:
CP = $\frac{9}{10} \times \text{Original Cost}$
If OC = 100, then:
CP = $\frac{9}{10} \times 100 = 90$ units.
Step 2: Calculate Ram's Selling Price
Next, we determine the price Ram sold the watch for. He sold it for 8% more than the Original Cost.
Selling Price (SP) = Original Cost + (8% increase on Original Cost)
SP = $OC + ( \frac{8}{100} \times OC )$
Using OC = 100:
SP = $100 + ( \frac{8}{100} \times 100 ) = 100 + 8 = 108$ units.
Step 3: Calculate the Profit Amount
Profit is the difference between the selling price and the cost price Ram paid.
Profit = Selling Price (SP) - Purchase Cost (CP)
Profit = $108 - 90 = 18$ units.
Since the selling price (108) is higher than the purchase cost (90), Ram made a profit.
Step 4: Calculate the Profit Percentage
The profit percentage is calculated based on the price Ram actually paid (his Purchase Cost, CP).
Profit Percentage = $ ( \frac{\text{Profit}}{\text{Purchase Cost (CP)}} ) \times 100 $
Profit Percentage = $ ( \frac{18}{90} ) \times 100 $
Simplify the fraction:
Profit Percentage = $ ( \frac{1}{5} ) \times 100 $
Profit Percentage = $20\%$
Result: Ram's Gain
Ram made a 20% profit on the watch.
Important Questions from Profit and Loss
By selling an article for Rs. 2,200, a profit of 10% is earned. If the same article is sold for Rs. 2,600, then what will be the gain percentage?
By selling an article for Rs. 640, a person loses 15% of its selling price. At what price (in Rs.) should he sell it to gain 15% on its cost price?
The selling prices of articles A and B are the same. A is sold at a profit of 28 percent and B is sold at a loss of 24 percent. If the total selling price of the both articles is Rs. 48640, then what is the cost price of A and B, respectively ?
The cost price of an article is Rs. 2800. Profit as a percentage of selling price is 20 percent. What is the actual profit (in Rs.) ?
A trader bought 640 kg of rice. He sold a part of rice at 20% profit and the rest at 5% loss. He earned a profit of 15% in the entire transaction. What is the quantity (in kg) of rice that he sold at 5% loss?
