If a product is bought for $80 and sold for $100, what is the loss percentage?

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Question: If a product is bought for $80 and sold for $100, what is the loss percentage?

Options:

Correct Answer: 10%

Solution:

Loss = Cost Price - Selling Price = 80 - 100 = -20. Loss Percentage = (20/80) * 100 = 25%.

If a product is bought for $80 and sold for $100, what is the loss percentage?

If a product is bought for $80 and sold for $100, what is the loss percentage?

Step 1: Identify the cost price of the product, which is $80.
Step 2: Identify the selling price of the product, which is $100.
Step 3: Calculate the loss by subtracting the selling price from the cost price: Loss = Cost Price - Selling Price = 80 - 100.
Step 4: Since the result is negative (-20), it means there is no loss; instead, there is a profit.
Step 5: To find the profit percentage, use the formula: Profit Percentage = (Profit / Cost Price) * 100.
Step 6: Calculate the profit: Profit = Selling Price - Cost Price = 100 - 80 = 20.
Step 7: Now, calculate the profit percentage: Profit Percentage = (20 / 80) * 100.
Step 8: Simplify the calculation: (20 / 80) = 0.25, then multiply by 100 to get 25%.
Step 9: Conclude that there is a profit of 25%.

Cost Price and Selling Price – Understanding the difference between the cost price (CP) and selling price (SP) is crucial for calculating profit or loss.
Loss Calculation – Loss is calculated when the selling price is less than the cost price, and it is determined by subtracting the selling price from the cost price.
Loss Percentage – Loss percentage is calculated by dividing the loss by the cost price and multiplying by 100 to express it as a percentage.