A businessman cheats by using faulty weights, to the tune of 12% each time, when buying and selling material. What is the rise in his profit percentage using faulty weights only?
Answer & explanation
Correct answer: option 2
If a person cheats x% while buying something and selling something then the profit percentage will be given by = X + y + \(\frac{x × y}{100}\)
Given percentage = 12%
Then the profit = 12 + 12 + \(\frac{12 × 12}{100}\) = 25.44%