Wednesday, May 29, 2013

Profit and Loss calculation in alligation methods

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 price,abbreviated as S.P.        

Profit or gain : if S.P. greater then C.P,The seller is said to have a profit or gain.        

Loss : If S.P.is less then C.P.,Seller is said to have incurred a loss.

Ex. Pure ghee costs Rs. 100 per kg. After adulterating it with vegetable oil costing Rs.50 per kg, A shopkeeper sells the mixture at the rate of Rs. 96 per kg,thereby making a profit of 20%. in what ratio does he what ratio does he mix the two.


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