Reenal bought an AC for Rs. 28500 and paid Rs. 600 for transportation. Then she sold it for Rs. 30264. What is her gain%?
4%
Understanding Gain Percentage in Business
This problem involves calculating the gain percentage made by Reenal after buying an AC, paying for its transportation, and then selling it. To find the gain percentage, we first need to determine the total cost incurred and the selling price. The gain is the difference between the selling price and the total cost. The gain percentage is then calculated based on the total cost.
Calculating the Total Cost Price
The total cost price is the initial cost of the item plus any additional expenses incurred to bring it to the point of sale, such as transportation charges. In this case, Reenal bought the AC for Rs. 28500 and paid Rs. 600 for transportation.
Total Cost Price = Cost of AC + Transportation Cost
Total Cost Price = Rs. 28500 + Rs. 600
Total Cost Price = Rs. 29100
So, the total cost price for Reenal is Rs. 29100.
Identifying the Selling Price
The selling price is the amount for which the item is sold. Reenal sold the AC for Rs. 30264.
Selling Price = Rs. 30264
Calculating the Gain
Gain occurs when the selling price is greater than the cost price. The gain is the difference between the selling price and the total cost price.
Gain = Selling Price - Total Cost Price
Gain = Rs. 30264 - Rs. 29100
Gain = Rs. 1164
Reenal made a gain of Rs. 1164.
Calculating the Gain Percentage
The gain percentage is calculated using the formula:
\(\text{Gain}\% = \left( \frac{\text{Gain}}{\text{Total Cost Price}} \right) \times 100\)
Let's plug in the values we calculated:
\(\text{Gain}\% = \left( \frac{1164}{29100} \right) \times 100\)
Now, perform the calculation:
\(\text{Gain}\% = 0.04 \times 100\)
\(\text{Gain}\% = 4\)
So, the gain percentage is 4%.
Summary of Calculation Steps
| Item | Amount (Rs.) | Calculation/Notes |
|---|---|---|
| Cost of AC | 28500 | Given |
| Transportation Cost | 600 | Given |
| Total Cost Price | 29100 | 28500 + 600 |
| Selling Price | 30264 | Given |
| Gain | 1164 | 30264 - 29100 |
| Gain Percentage | 4% | (1164 / 29100) * 100 |
The gain percentage is 4%.
Revision Table: Key Concepts
| Term | Definition | Formula (if applicable) |
|---|---|---|
| Cost Price (CP) | The total expenditure incurred to acquire an item, including purchase price and additional costs. | Initial Price + Additional Costs |
| Selling Price (SP) | The price at which an item is sold. | - |
| Gain (Profit) | Occurs when SP > CP. | Gain = SP - CP |
| Loss | Occurs when CP > SP. | Loss = CP - SP |
| Gain Percentage | Gain expressed as a percentage of the Cost Price. | \(\left( \frac{\text{Gain}}{\text{CP}} \right) \times 100\) |
| Loss Percentage | Loss expressed as a percentage of the Cost Price. | \(\left( \frac{\text{Loss}}{\text{CP}} \right) \times 100\) |
Additional Information on Profit and Loss
Understanding profit and loss calculations is fundamental in basic business and accounting. Here are some important points:
- The gain or loss is always calculated on the cost price, unless specifically stated otherwise.
- Additional expenses like transportation, installation, or repairs incurred before selling an item are added to the initial purchase price to find the total cost price.
- A higher selling price than the cost price results in a gain. A lower selling price than the cost price results in a loss.
- The percentage calculation helps compare the profitability of different transactions relative to their costs.
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?
