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# Formulas For Profit And Loss

## Formulas for Profit and Loss Questions

**Cost Price** – The price at which a commodity or object is bought at known as Cost Price or CP

**Selling Price** – The price at which the commodity is sold at known as Selling Price or SP.

**What is Profit :- **Ex.If a shopkeeper brings a cloth for Rs.100 and sells it for Rs.120, then he has made a profit of Rs.20/-.

**What is Loss:- **If a salesperson has bought a textile material for Rs.300 and he has to sell it for Rs.250/-, then he has gone through a loss of Rs.50/-.

### Profit and Loss Formulas

**Cost Price –**It is basically the price at which a commodity or object is bought at.**e.g.**Shopkeeper buying Sugar from Farmer to sell in his grocery store. In its short form it is denoted as**C.P.****Selling Price –**The price at which the commodity is sold at. e.g. Shopkeeper selling sugar to his customer. In its short form is denoted as S.P.**Gain or Profit –**If Cost Price is lesser than Selling Price, gain is made.**Loss –**If Cost price is greater than the Selling price, Loss is incurred.

### Formulas for Profit and Loss

**Profit or Gain:**SP – CP**Loss –**CP – SP**Percentage Profit or Gain Percentage**–Gain x 100 C.P. **Loss Percentage –**Loss x 100 C.P. **C.P in Case of Gain =**(100) x S.P. (100 + Gain) **C.P in Case of Loss =**(100) x S.P. (100 – Loss) **S.P in Case of Gain =**(100 + Gain) x C.P. (100) **S.P in Case of Loss =**(100 – Loss) x C.P. (100) **If you sell two same items, first at x% profit and 2nd one at x% loss. Then a loss is incurred always, which is given by**= ( \frac{x}{10})^2**Marked price and discount**

- Selling price = marked price – discount
- Discount = marked price – selling price
- Marked price = selling price + discount

**Note:**

(a) If there is no discount, the marked price is equal to the selling price

(b) Discount is always calculated on marked price unless otherwise stated.

11.**Discount Percentage** = (Discount/Marked price) x 100

12. **Successive discounts:-** If d1% , d2% d3%are successive discounts on marked price,selling price=marked price \left ( \frac{100-d_{1}}{100}\right )+\left ( \frac{100-d_{2}}{100}\right )+\left ( \frac{100-d_{3}}{100}\right )

**Read Also : Tips & Tricks to solve profit and loss.**

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