Quantitative Aptitude - PROFIT AND LOSS

Suppose the price is first increase by X%  and then decreased 

by Y% , the final change % in the price is given by the following 

formula,

                       Final Difference % = X- Y – XY/100

EXAMPLE 1. : The price of T.V set is increased by 40 % of the 

cost price and then decreased by 25% of the new price .  On 

selling, the profit for the dealer was Rs.1,000 . At what price was 

the T.V sold.

From the above mentioned formula you get : 

Final difference % = 40-25-(40*25/100)= 5 %.
So if 5 % = 1,000
then 100 % = 20,000.
C.P = 20,000
S.P = 20,000+ 1000= 21,000.

EXAMPLE 2 : The price of T.V set is increased by 25 % of cost 

price and then decreased by 40% of the new price .  On selling, 

the loss for the dealer was Rs.5,000 . At what price was the T.V 

sold.

From the above mentioned formula you get : 

Final difference % = 25-40-(25*45/100)=  -25 %.
So if 25 % = 5,000
then 100 % = 20,000.
C.P = 20,000
S.P = 20,000 – 5,000= 15,000.