If the selling price of 20 pens is equal to the cost price of 16 pens, then find the loss percentage.
Answer & explanation
Correct answer: option 3
Profit = Selling price of 20 pens - Cost Price of 20 pens
But, selling price of 20 pens = cost price of 16 pens
Profit = cost price of 16 pens - cost price of 20 pens
This is a loss condition
Loss = Cost Price of 4 pens
Loss% = Cost Price of 4 pens*100/Cost Price of 20 pens = 4units*100/20units = 20%
The correct answer is Option (3) → 20%