Question

Siphos aunt sells the business the new owner is not prepared to supply siphos with free packing he now has to buy the packets and pays r50 for r1000 packets.if sipho contines to sell the packets at R1 each, calculate the percentage profit that he will make on his peanuts.

Answer 1

Sipho's percentage profit when selling packets at R1 each, after buying them at R50 for 1000, is calculated to be 95%.

Step-by-step explanation:

If Sipho now has to buy packets for his peanuts at R50 for 1000 packets and continues to sell them at R1 each, we will calculate his percentage profit based on the new expenses for packets. First, we calculate the cost per packet which is R50/1000 = R0.05 per packet. Next, if he sells each packet at R1, the profit for each packet is R1 - R0.05 = R0.95 per packet. To find the percentage profit, we divide the profit per packet by the selling price and multiply by 100. Therefore, the percentage profit is (R0.95 / R1) × 100 = 95%.