Question

Halim makes a profit of 120% on his cost price by selling a pair of shoes of $45. i) Find the cost pricer of the pair of shoes ii) Calculate his profit . Loss in selling the same pair of shoes in sale at $25

Answer 1

a. $20.45

b. $24.55

c. $4.55

Explanation:

In this question, we are asked to calculate the cost price and profit or loss selling a pair of shoes.

we proceed as follows

Firstly, we want to find the cost price given the selling price and the mark up percentage.

mathematically;

profit =( selling price - cost price)/cost price * 100%

here our profit is 120% with the cost price being $45. we plug these values

120 = 45-cp/cp * 100%

120cp = 100(45-cp)

120cp = 4500 -100cp

220cp = 4500

cp = 4500/220 = $20.45

His profit is selling price - cost price = 45 - 20.45 = $24.55

His profit selling same shoe for $25 is 25-20.45 = $4.55

Answer 2

i) Cost = $37.5

ii) Profit = $7.5

Loss = -$12.5

Explanation:

i) If Halim's profit selling the pair of shoes of $45 is 120%, to find the cost pricer of the pair of shoes, we just need to divide the value by the profit:

Cost = 45/120% = 45/1.2 = $37.5

ii) To find his profit, we just need to subtract the selling value by the cost price:

Profit = 45 - 37.5 = $7.5

The loss that he would have if he sells the pair of shoes at $25 is:

Loss = 25 - 37.5 = -$12.5