Profit And Loss Handwritten Notes PDF
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Profit And Loss Questions
Profit and Loss – Important Formulas
IMPORTANT FACTS
Cost Price:
The price, at which an article is purchased, is called its cost price, abbreviated as C.P.
Selling Price:
The price, at which an article is sold, is called its selling prices, abbreviated as S.P.
Profit or Gain:
If S.P. is greater than C.P., the seller is said to have a profit or gain.
Loss:
If S.P. is less than C.P., the seller is said to have incurred a loss.
IMPORTANT FORMULAE
 Gain = (S.P.) – (C.P.)
 Loss = (C.P.) – (S.P.)
 Loss or gain is always reckoned on C.P.

Gain % = x 100 C.P. 
Loss % = x 100 C.P.  Selling Price: (S.P.)
SP = (100 + Gain %) x C.P 100  Selling Price: (S.P.)
SP = (100 – Loss %) x C.P. 100  Cost Price: (C.P.)
C.P. = 100 x S.P. (100 + Gain %)  Cost Price: (C.P.)
C.P. = 100 x S.P. (100 – Loss %)  If an article is sold at a gain of say 35%, then S.P. = 135% of C.P.
 If an article is sold at a loss of say, 35% then S.P. = 65% of C.P.
 When a person sells two similar items, one at a gain of say x%, and the other at a loss of x%, then the seller always incurs a loss given by:
Loss % = Common Loss and Gain % 2 = x 2 . 10 10  If a trader professes to sell his goods at cost price but uses false weights, then
Gain % = Error x 100 %. (True Value) – (Error)
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