Profit and Loss questions look simple, but exam setters combine them with discount, successive changes, and percentage comparison. This pillar keeps the formulas and thinking path together.
Core concepts
- Cost Price is the buying price, Selling Price is the selling price, and Marked Price is the tagged price.
- Profit happens when SP > CP and loss happens when SP < CP.
- Discount is usually calculated on Marked Price, not Cost Price.
Must-remember formulas
- Profit = SP - CP
- Loss = CP - SP
- Profit% = (Profit / CP) × 100
- Loss% = (Loss / CP) × 100
Fast tricks
- If profit or loss percent is given, first connect SP and CP as a ratio.
- For discount questions, MP to SP relation is often faster than long subtraction.
- Repeated gain and loss needs multiplier logic, not plain addition/subtraction.
Worked examples
- A shirt bought at 500 and sold at 650 gives profit = 150 and profit% = 30.
- An item marked 800 with 10% discount sells for 720.
Practice section
- Find SP when CP = 400 and profit% = 15.
- Find CP when SP = 540 and loss% = 10.
- Find selling price after two successive discounts of 10% and 20% on MP 1000.
Cluster articles
- Profit and Loss Basics
- Profit and Loss Formulas for Exams
- Profit and Loss Tricks for Faster Solving
- Discount and Marked Price Questions
- Successive Profit and Loss Changes
- Common Profit and Loss Mistakes
- Profit and Loss Word Problems
- Exam-Based Profit and Loss Questions
- Previous Year Profit and Loss Patterns
- Profit and Loss Practice Set 1