Mukesh purchased bicycles in , all at the same price. He sold six of these at a profit of and the remaining four at a loss of . If he made a total profit of Rs. then his purchase price of a bicycle, in Rupees, was
Mukesh purchased bicycles in , all at the same price. He sold six of these at a profit of and the remaining four at a loss of . If he made a total profit of Rs. then his purchase price of a bicycle, in Rupees, was
Solution
Mukesh bought 10 bicycles at the same price each. He sold 6 at a 25% profit and 4 at a 25% loss, making a total profit of Rs. 2000. We need to find the purchase price of each bicycle.
When we sell something at a profit or loss, the actual profit/loss amount equals the percentage times the cost price.
Let the purchase price of each bicycle = rupees
Profit from each bicycle = 25% of =
Total profit from 6 bicycles =
Loss from each bicycle = 25% of =
Total loss from 4 bicycles =
Net profit = Total profit - Total loss
Since Mukesh made a total profit of Rs. 2000:
Therefore, the purchase price of each bicycle was Rs. 4000.
In profit-loss problems, we always remember that the actual profit/loss amount equals the percentage times the original cost price. This makes setting up equations much easier!