To calculate the profit we need to know “What is Profit?” The term Profit refers to the amount which we gained after selling a product. This means the “Selling price” should be more than the “Actual price” or “Cost Price.”
Now coming to the calculation of the profit we have a formula i.e
Profit(P)= Selling price(SP) – Cost Price (CP)
Here we can see the new terms “Selling Price” and “Actual Price” or “Cost Price.” Let us discuss what they refer to.
Selling Price: The price of the product which was sold by the shopkeeper to the customer for a certain price is known as the selling price. The Selling price can also be written as SP. To calculate the Selling price, we have a formula i.e.
Selling Price(SP)= Profit(P) + Cost Price(CP)
Cost Price: It is also called Actual price, which means the actual cost of a product or original cost of a product or an item that was bought from the merchant or retailer. To calculate Cost Price, we have a formula i.e,
Cost price(CP)= Selling price(SP) – Profit (P).
In the above, we have discussed the related terms. Let’s discuss more on the concept of Profit with some examples.
Solved Examples on Profit
1. Find the Profit if
a) SP= 100 and CP= 60
b) SP= 125 and CP= 100
c) SP= 90 and CP= 75
Solution:
a) SP= 100 and CP= 60
Profit(P)= Selling Price(SP) – Cost Price (CP).
= 100-60
= 40.
Profit= 40.
b) SP= 125 and CP= 100
Profit(P)= Selling Price(SP) – Cost Price (CP).
= 125-100
= 25.
Profit= 25.
c) SP= 90 and CP= 75
Profit(P)= Selling price(SP) – Cost price (CP).
= 90-75
= 15.
Profit= 15.
2. The cost price of chocolate is Rs.10 and the selling price is Rs. 15. Find the profit?
Solution:
CP of the chocolate= Rs.10
SP of the chocolate= Rs.15
Profit= Selling price(SP) – Cost price(CP).
= 15 – 10
= 5.
Profit= 5.
3. Mark bought 4 dozens of apples at $15 a dozen and sold at $20 a dozen. Find the profit?
Solution:
The cost price of apples= $15
The selling price of apples= $20
Profit(P)= Selling price(SP) – Cost price (CP).
= $20-$15
= $5.
Profit= $5.
4. Mr.Singh bought a table for Rs 15,000 and spent Rs 500 on transportation. He sold the table for Rs 17,000. Find his profit?
Solution:
Cost price of the table= Rs 15,000.
Transportation cost= Rs 500.
So, Total Cost Price= Rs 15,000+Rs 500
= Rs 15,500The selling price of the table= Rs 17,000.
Profit(P)= Selling Price(SP) – Cost Price (CP).
= Rs 17,000- Rs 15,500
= Rs 1500
Profit= Rs 1500.
Solved Examples on Selling Price
1. Find the Selling Price if
a) P= 20 and CP= 100
b) P= 32 and CP= 150
c) P= 5 and CP= 22
Solution:
a) P= 20 and CP= 100
Selling price(SP)= Profit(P) + Cost price(CP).
= 20+100
= 120.
Selling price= 120.
b) P= 32 and CP= 150
Selling price(SP)= Profit(P) + Cost price(CP).
= 32+150
= 162.
Selling price= 162.
c) P= 5 and CP= 22
Selling price(SP)= Profit(P) + Cost price(CP).
= 5+22
= 27.
Selling Price= 27.
2. The cost price of a dining set is Rs 8000 and the shopkeeper got a profit of Rs 2000. Find the selling price of the dining set?
Solution:
The cost price of the dining set= Rs 8000.
The profit that the shopkeeper got= Rs 2000.
Selling price(SP)= Profit(P) + Cost price(CP).
= Rs 2000+ Rs 8000
= Rs 10,000.
The selling price of the dining set is Rs 10,000.
Solved Examples on Cost Price
1. Find the Cost price if
a) SP= 200 and P= 20.
b) SP= 250 and P= 50.
c) SP= 125 and P= 25.
Solution:
a)SP= 200 and P= 20.
Cost price(CP)= Selling price(SP) – Profit (P).
= 200-20.
= 180.
Cost Price= 180.
b) SP= 250 and P= 50.
Cost Price(CP)= Selling Price(SP) – Profit (P).
= 250-50
= 50.
c) SP= 125 and P= 25.
Cost price(CP)= Selling price(SP) – Profit (P).
= 125-25
= 100.
2. A shopkeeper sold a chair for Rs 2000 and he got a profit of Rs 500. What is the actual price of the chair?
Solution:
The selling price of the chair= Rs 2000.
The profit that the shopkeeper got= Rs 500.
Cost price of the chair =
Cost price(CP)= Selling price(SP) – Profit (P).
= Rs 2000- Rs 500
= Rs 1500.
So the actual price of the chair is Rs. 1500.
How to Calculate the Profit %?
The profit percentage is the percentage which is calculated with the Cost Price in the base. To calculate Profit Percent we need to know profit and cost price. The formula of profit percent is
Profit % = Profit/CP × 100.
To know how to calculate profit %, refer to the solved examples below for better understanding and solve the problems on your own.
Solved Examples on Profit %
1. Find Profit % if,
a) SP= 140 and CP= 100
b) SP= 220 and CP= 200
c) SP= 70 and CP= 50
Solution:
a) SP= 180 and CP= 140
Profit(P)= Selling price(SP) – Cost Price (CP).
= 180-140
= 40.
Profit = 40
Profit % = Profit/CP × 100.
= (40/100)×100
= 40%
b) SP= 220 and CP= 200
Profit(P)= Selling Price(SP) – Cost Price (CP).
= 220-200
= 20
Profit= 20
Profit% = profit/CP × 100.
= (20/200)×100
= (1/10)×100
= 10%.
c) SP= 60 and CP= 50
Profit(P)= Selling Price(SP) – Cost Price (CP).
= 60-50
= 10
Profit= 10
Profit%= profit/CP × 100.
= (10/50)×100
= (1/5)×100
= 20.
2. A man bought 50 bulbs for Rs 125 each. And sells them at Rs 150 each. Find the profit and profit percent?
Solution:
The selling price of the bulb= Rs 150
The cost price of the bulb= Rs 125.
So, Profit (P)= Selling Price(SP)- Cost Price(CP)
= Rs 150- Rs 125
= Rs 25
Profit = Rs 25.
Now to find the Profit percentage, apply the formula
Profit% = Profit/CP × 100.
= (25/125)×100
= (1/5)×100
= 20%.
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