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Quantitative Aptitude
easyQ. No. 4783-two-watches-are-sold-at-the-same-price-the-seller-gains-25-on-one-and-loses-25-on-the-other-find

Two watches are sold at the same price. The seller gains 25% on one and loses 25% on the other. Find the overall profit or loss percent.

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This Profit and Loss question develops correct identification of cost price, selling price, marked price, discount and the relevant percentage base in “Two watches are sold at the same price. The seller gains 25% on one and loses 25% on the other. Find the overall profit or loss percent.”. The worked explanation retains the original numerical relationship, verifies 6.25% Loss, and distinguishes common traps such as reversing CP and SP, adding successive rates or confusing discount with loss. It is designed for SSC, Railway, Banking, State examinations and other quantitative aptitude tests where accurate interpretation must accompany fast calculation.

A5.25% Loss
B6.25% Loss
C7.25% Loss
D8.25% Loss
Correct Answer: 6.25% LossYour Answer: B

Explanation

Correct percentage analysis gives 6.25% Loss, corresponding to option B. Calculate total cost price and total selling price for all articles before deciding the net profit or loss. The question-specific working supplied in the record is: This Profit and Loss solved example uses the equal selling price shortcut trick: when one item gains 25% and the other loses 25%, the combined result is always a loss. The step-by-step formula is net loss percentage = (25/10)² = 6.25%. Equal gain and loss percentages do not cancel because the two cost prices are different even though the selling prices are equal. Taking the same selling price for both items and comparing their cost prices confirms the 6.25% loss. Therefore, the net result is 6.25% loss, matching option C.. Profit and loss questions become unreliable when a percentage is applied to the wrong base. Profit or loss percent uses cost price, while discount percent uses marked price. If several changes occur, convert each change into a multiplier and apply them in order. The distractors 5.25% Loss, 7.25% Loss, 8.25% Loss can result from interchanging cost price and selling price, treating discount as loss, adding successive rates, ignoring quantity, or rounding before the final step. A dependable check is to assume cost price 100 whenever only percentages are involved, reconstruct the selling value, and compare the resulting ratio with the selected option. Also verify direction: profit requires selling price above cost price, whereas loss requires it below cost price. This method preserves the numerical relationships in the stem and develops formula selection, percentage-base recognition and option elimination for SSC, Railway, Banking and other competitive aptitude examinations.

Important Notes

  • Correct answer: 6.25% Loss; option B, zero-based index
  • Applicable method: Calculate total cost price and total selling price for all articles before deciding the net profit or loss.
  • Profit/loss percentage uses cost price; discount percentage uses marked price.

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FAQ

Profit and Loss FAQs

Common questions and clear answers for this topic.

Which method applies to this question?

Calculate total cost price and total selling price for all articles before deciding the net profit or loss.

What is the verified answer?

6.25% Loss, option B.

Which percentage base is most important?

Profit or loss percent is based on cost price, while discount is based on marked price.

How can the answer be checked?

Reverse the percentage relation or assume a base of 100 and reconstruct the final value.

What is Profit and Loss in mathematics and what are the basic terms?

Profit and Loss is a key Quantitative Aptitude topic in SSC CGL, IBPS Bank PO, SBI PO, CAT, and Railway exams. Basic terms: Cost Price (CP) - price at which an item is purchased. Selling Price (SP) - price at which it is sold. Profit = SP - CP (when SP > CP). Loss = CP - SP (when CP > SP). Profit% = (Profit/CP) x 100. Loss% = (Loss/CP) x 100.

What is the difference between Marked Price, Selling Price, and Discount?

Marked Price (MP) is the price printed on the item before discount. Discount = MP - SP. Discount% = (Discount/MP) x 100. SP = MP x (100-Discount%)/100. If a shopkeeper marks up by 40% and gives 20% discount: SP = CP x 1.40 x 0.80 = 1.12CP = 12% profit. Profit% and Loss% are always calculated on Cost Price unless specified otherwise.

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