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If the cost price of 10 pens is equal to the selling price of 8 pens, find the profit percentage.
20%
25%
15%
30%
25%
Assume CP of 1 pen is 1 unit. Then CP of 8 pens is 8 and SP of 8 pens is 10, giving a profit of 2 on 8, which equals 25%.
Cost price of 10 pens is equal to the selling price of 8 pens
extProfit%=CPSPтИТCPтАЛimes100
Assume CP of 1 pen is 1 unit. Then CP of 8 pens is 8 and SP of 8 pens is 10, giving a profit of 2 on 8, which equals 25%.
Mistakenly calculating the profit percentage with respect to the selling price instead of the cost price.
Set up the equation
Equate the given cost price and selling price conditions: 10imesCP=8imesSP.
10imesCP=8imesSP
Find the ratio of SP to CP
Rearranging the equation gives the ratio of selling price to cost price: CPSPтАЛ=810тАЛ=45тАЛ.
racSPCP=45тАЛ
Calculate profit percentage
Using the profit percentage formula with CP=4 and SP=5: Profit┬а%=45тИТ4тАЛimes100=25%.
extProfit%=41тАЛimes100=25%
B is correct because the calculated profit percentage is 25%.
Similar ratio techniques can be applied to problems involving discount, marked price, and percentage change.