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.
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. In marked-price problems, a discount can coexist with profit because marked price and cost price are different bases. 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.