A shopkeeper sells his articles at their cost price but uses a faulty balance which reads 1000 gm for 800 gm. What is the actual profit percentage?
- AOption (a)
20%
- BOption (b)
25%
- COption (c)
30%
- DOption (d)
40%
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Correct answer
25%
Why this answer is correct
Shortcut Trick
For faulty weight problems where the article is sold at cost price:
Profit % = [(Stated Weight − Actual Weight) ÷ Actual Weight] × 100
Here, Stated Weight = 1000 gm and Actual Weight = 800 gm.
Profit % = [(1000 − 800) ÷ 800] × 100 = [200 ÷ 800] × 100 = 1/4 × 100 = 25%
∴ The correct answer is 25%.
Alternate Method
Given:
Reading on balance = 1000 gm (Quantity for which customer pays)
Actual weight delivered = 800 gm (Quantity that actually goes out of stock)
Selling price = Cost price (per unit weight)
Formula Used:
Profit = Selling Price (SP) − Cost Price (CP)
Profit % = (Profit ÷ CP) × 100
Let the Cost Price (CP) of 1 gm of the article be &inr;1.
⇒ Shopkeeper pays for 800 gm = &inr;800 (This is the effective CP).
⇒ Shopkeeper charges the customer for 1000 gm = &inr;1000 (Since SP = CP, this is the effective SP).
⇒ Total Profit = &inr;1000 − &inr;800 = &inr;200.
⇒ Profit % = (Profit ÷ Effective CP) × 100
⇒ Profit % = (200 ÷ 800) × 100
⇒ Profit % = 1/4 × 100 = 25%
∴ The correct answer is 25%.
Additional Information
Dishonest Dealer Formula
Profit % = [Error ÷ (True Value − Error)] × 100, where Error is the difference between the weight shown and the actual weight used.
Profit with Mark-up
If a dealer marks up price by x% and uses y% less weight, Net Profit % = [(x + y) ÷ (100 − y)] × 100.
Effective Ratio Method
Profit ratio can be found by multiplying individual ratios: (Stated Weight/Actual Weight) × (SP/CP). If SP=CP, the ratio is simply Stated Weight : Actual Weight.