Question
A toy is sold for Rs. 800 at 60% profit when profit is
calculated on selling price. Find the profit% on cost price?Solution
Selling price = Rs. 800 Profit on selling price = 60% Profit = 800 × 60/100 = Rs. 480 So, cost price = 800 - 480 (selling price - profit) = 320 Profit on cost price = 480/320× 100 = 150%
The 'Principle of diminishing returns' explains:Â
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