A retailer buys a radio for Rs 225. His overhead expenses are Rs 15.

Question:

A retailer buys a radio for Rs 225. His overhead expenses are Rs 15. If he sells the radio for Rs 300, determine his profit percent.

Solution:

Radio costs $=$ Rs. 225

Overhead expenses $=$ Rs. 15

C. $\mathrm{P}=$ Rs. $(225+15)=$ Rs. 240

S. $\mathrm{P}=$ Rs. 300

Profit $=$ SP $-$ CP

$=$ Rs. $(300-240)$

$=$ Rs. 60

Profit $\%=\frac{\text { Profit }}{\text { C.P }} \times 100$

$=\frac{60}{240} \times 100$

$=25 \%$

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