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How to calculate profit percentages?

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ch4limi0 | (Level 1) eNoter

Posted August 15, 2013 at 10:07 AM via web

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How to calculate profit percentages?

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llltkl | College Teacher | (Level 3) Valedictorian

Posted August 15, 2013 at 12:42 PM (Answer #1)

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The difference between selling price and cost price of an article is the profit.

Divide profit by the cost price, and multiply this by 100 to get profit percentage on that article. Thus,

Profit percentage=(Selling Price-Cost Price)*100/Cost Price

Suppose an apple vendor has purchased an apple at 46p (this is the C.P.) and sells it at 50 p, the profit made on the apple is (50-46)=4p

Hence profit percentage=4*100/46=8.7

If however, for some reason he has to sell it at 40p, his profit would be (40-46)=-6p

Profit percentage, then=-6*100/46=-13.0

Negative value of the result indicates an actual loss, in the last instance.

Sources:

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krishna97 | Student, Grade 11 | (Level 1) eNoter

Posted August 16, 2013 at 7:25 AM (Answer #2)

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profit % can be calculated by the help of following formula:-

   (Profit/ C.P)X100

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