Prakash bought 2 items, paying the same price for each of them. He sold one item at a profit of 20% and the other item at a profit of 25%. What is the overall percentage profit he made?
Answer & explanation
Correct answer: option 4
Profit on 1st = 20%
Profit on 2nd = 15%
Let the cost price of the items = 100
Then, according to the question,
Profit on 1st item = 20% of 100 = 20
Profit on 2nd item = 25% of 100 = 25
⇒ Total profit on selling both the items = 45
Also, total cost price = 200
Profit % = \(\frac{45}{200}\) × 100= 22.5%