Question

A businessman bought three machines at rs 5400 each and spent 4000 on rearing and sold the machines for Rs Rs 7000 each, how much profit didi he make?

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Answer 1

`\boxed{</strong><strong>R</strong><strong>s \: 800}`

Explanation:

Cost price of three machines with repairment charge ( CP ) = 5400 × 3 + 4000

= Rs 20200

Selling price of 1 machine = Rs 7000

Selling price of 3 machines ( S.P )= Rs 7000 × 3

= Rs 21000

Since , SP > CP , he made a profit

Profit = SP - CP

= Rs 21000 - Rs 20200

= Rs 800

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Further more explanation

Profit and loss

In any business , owners have intension to have profit by selling articles. The price at which an article is purchased is called it's Cost price ( C.P ) and the price at which it is sold is called Selling price ( S.P ).

If the selling price is less than cost price of an article then there is a loss.

If the selling price is more than cost price of an article then there is a profit ( gain )

So, If S.P > C.P, there is profit in dealing.

If C.P > SP , there is loss in dealing.

Hope I helped!

Best regards!!