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Profit, Loss & Discount

SSC-CGL Exams

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1. Introduction

Profit, Loss, and Discount questions check your understanding of cost, selling, and marked price relations. They are among the most scoring topics in SSC exams — once you master the formulas and common traps like successive discounts or false weights. Let's learn all concepts step-by-step.

2. Basic Concepts & Formulas

Term Meaning
Cost Price (C.P.) The price at which an article is bought
Selling Price (S.P.) The price at which it is sold
Marked Price (M.P.) The printed price before discount
Discount (D) The reduction given on the marked price

Profit / Gain

When S.P. > C.P.

Profit = S.P. - C.P.

Profit% = (Profit / C.P.) × 100

Loss

When C.P. > S.P.

Loss = C.P. - S.P.

Loss% = (Loss / C.P.) × 100

Relation Between C.P. and S.P.

S.P. = C.P. × (1 + Gain%/100)

C.P. = S.P. × (1 - Gain%/100)

S.P. = C.P. × (1 - Loss%/100)

Trick to Remember: Always take C.P. as the base for % profit or % loss.

3. Marked Price and Discount

Formula Meaning
Discount = M.P. - S.P. Direct difference
Discount% = (Discount / M.P.) × 100 Based on M.P.
S.P. = M.P. × (1 - Discount% / 100) Final price after discount

Example 1

A shopkeeper marks an item at ₹1000 and allows a discount of 20%. Find the selling price.

S.P. = 1000 × (1 - 20/100) = ₹800

Example 2 (Profit after Discount)

An article is marked at ₹600, discount 10%, and cost price ₹450. Find the profit%.

S.P. = 600 × (1 - 0.10) = ₹540

Profit = 540 - 450 = 90

Profit% = (90/450) × 100 = 20%

Answer: Profit = 20%

4. Successive Discounts (Discount Chain)

When two discounts are given — say 20% and 10%,

Net Discount% = A + B - (AB/100)

Example

M.P. = ₹2000, two successive discounts of 20% and 10%

Net Discount% = 20 + 10 - (20×10)/100 = 28%

S.P. = 2000 × (1 - 28/100) = ₹1440

Answer: Selling Price = ₹1440

5. False Weights (Cheating by Weight)

Sometimes shopkeepers sell goods at a profit even at cost price by using less weight.

Gain% = [100 × Error] / (True Weight - Error)

Example

A shopkeeper sells goods at cost price but uses 900g instead of 1kg.

Gain% = [100 × 100] / (1000 - 100) = 10000/900 = 11.11%

Answer: 11.11% profit

6. Practice with SSC-style Examples

Q1. A man buys a watch for ₹800 and sells it for ₹960. Find his profit%.

View Answer

Profit = 960 - 800 = ₹160

Profit% = (160/800) × 100 = 20%

Q2. A trader sells goods at 10% loss. If he had sold it for ₹540 more, he would have gained 8%. Find the cost price.

View Answer

Difference in % = 8 + 10 = 18%

So, 18% of C.P. = ₹540

⇒ C.P. = (540 × 100) / 18 = ₹3000

Q3. A shopkeeper offers two successive discounts of 20% and 10%. Find the net discount.

View Answer

Net Discount = 20 + 10 - (20×10)/100 = 28%

Q4. Find the selling price if M.P. = ₹1500 and discount = 25%.

View Answer

S.P. = 1500 × (1 - 0.25) = ₹1125

Q5. A dishonest dealer professes to sell goods at cost price but uses 850g instead of 1kg. Find his gain%.

View Answer

Gain% = (100 × 150) / (1000 - 150) = 15000/850 = 17.65%

Q6. A man sells two articles for ₹1200 each. On one he gains 20%, on the other he loses 20%. Find his overall gain or loss%.

View Answer

C.P.₁ = 100, S.P.₁ = 120

C.P.₂ = 100, S.P.₂ = 80

Total C.P. = 100 + 125 = 225

Total S.P. = 120 + 80 = 200

Loss% = (25/225) × 100 = 11.11% loss

Q7. A merchant marks his goods 40% above cost price and allows a discount of 25%. Find profit%.

View Answer

C.P. = ₹100 → M.P. = ₹140

Discount = 25% of 140 = ₹35 → S.P. = ₹105

Profit% = 5%

Answer: 5% Profit

7. Quick Summary Table

Concept Formula
Profit% (Profit / C.P.) × 100
Loss% (Loss / C.P.) × 100
S.P. C.P. × (1 ± Gain/Loss%)
Discount% (Discount / M.P.) × 100
Successive Discounts A + B - (AB/100)
False Weight Gain% (100 × Error) / (True Weight - Error)

You've completed Article 3: Profit, Loss & Discount!

Courage Tip: Always visualize the flow of price — C.P. → M.P. → Discount → S.P. Once you control that chain, this topic becomes your fastest-scoring weapon in SSC CGL.

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