Arithmetic — Percentage, Profit & Loss, Interest — Practice

Question 1

An article sold at 25% profit fetches ₹500. Its cost price is:
(a) ₹375  (b) ₹400  (c) ₹420  (d) ₹450

Accepted Answer

25% profit ⇒ CP:SP = 4:5. CP = 500 × 4/5 = ₹400.

Answer: (b) ₹400.

Question 2

Goods marked 40% above cost are sold at a 25% discount. The net profit percentage is:
(a) 5%  (b) 10%  (c) 15%  (d) 8%

Accepted Answer

Net = 40 − 25 − (40×25)/100 = 15 − 10 = +5%.

Answer: (a) 5%.

Question 3

The difference between CI and SI on ₹8,000 at 10% p.a. for 2 years is:
(a) ₹80  (b) ₹100  (c) ₹120  (d) ₹160

Accepted Answer

CI − SI = P(R/100)² = 8000 × (1/10)² = 80.

Answer: (a) ₹80.

Question 4

Two successive discounts of 20% and 10% are equivalent to a single discount of:
(a) 30%  (b) 28%  (c) 25%  (d) 32%

Accepted Answer

20 + 10 − (20×10)/100 = 28%.

Answer: (b) 28%.

Question 5

A invests ₹15,000 for 8 months, B ₹12,000 for 10 months. B's share of a ₹9,600 profit is:
(a) ₹4,800  (b) ₹4,000  (c) ₹5,600  (d) ₹6,000

Accepted Answer

Ratio = 15×8 : 12×10 = 120:120 = 1:1. B = 9,600/2 = ₹4,800.

Answer: (a) ₹4,800.

Question 6

The price of rice rises 25%. By what % must a household cut consumption to keep expenditure unchanged?
(a) 25%  (b) 20%  (c) 16.67%  (d) 22%

Accepted Answer

25/(100+25) × 100 = 25/125 × 100 = 20%. (25% = ¼ up ⇒ ⅕ down.)

Answer: (b) 20%.

Question 7

A's salary is 60% more than B's. B's salary is what % less than A's?
(a) 60%  (b) 40%  (c) 37.5%  (d) 62.5%

Accepted Answer

A = 8/5 B (60% = 3/5 more). B = 5/8 A ⇒ 3/8 less = 37.5%.

Answer: (c) 37.5%. Trap: (a) 60% — % more never equals % less.

Practice — Arithmetic — Percentage, Profit & Loss, Interest