Mohan purchased a bicycle for ₹5,200 and spent ₹800 on its repairs. He had to sell it for ₹5,500. Find his profit or loss per cent.
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → \(8 \frac{1}{3}\)%
Money spent on repairs is part of what the bicycle really cost Mohan, so it is added to the cost price; the profit or loss per cent is then worked out on that cost.
Cost price \(=5200+800=\) ₹6000
Selling price \(=\) ₹5500, which is less than the cost, so there is a loss of ₹500
Loss per cent \(=\displaystyle\frac{500}{6000}\times100=8\frac{1}{3}\%\)