Question

Bittu, a fruit seller purchased some fruit items and raised its price by 35%. But due to some urgency, he had to sell it immediately by giving 35% discount on the face value. Then, how much was the percentage gain or loss after giving discount?

• A. Gain 12.25%
• B. Gain 15.75%
• C. Loss 12.25%
• D. Loss 15.75%

Hint:

When an item's price is increased by \(x%\) and then decreased by \(x%\), there is always a net loss. The percentage loss is given by the formula \( \left(\frac{x}{10}\right)^2 % \).

Answer 1

The Correct Option is C

Let the original cost price (CP) of the fruit items be Rs 100. Step 1: Calculate the marked price (face value).
Bittu raised the price by 35%.
Marked Price (MP) = Cost Price + 35% of Cost Price
MP = $100 + 35%$ of $100 = 100 + 35 = 135$
So, the Marked Price is Rs 135.
Step 2: Calculate the selling price (SP) after the discount.
Bittu gave a 35% discount on the face value (Marked Price).
Discount Amount = 35% of Marked Price
Discount Amount = $35%$ of $135 = \frac{35}{100} \times 135$
Discount Amount = $0.35 \times 135 = 47.25$
Selling Price (SP) = Marked Price - Discount Amount
SP = $135 - 47.25 = 87.75$
So, the Selling Price is Rs 87.75.
Step 3: Calculate the percentage gain or loss.
Since the Selling Price (Rs 87.75) is less than the Cost Price (Rs 100),
there is a loss.
Loss Amount = Cost Price - Selling Price
Loss Amount = $100 - 87.75 = 12.25$
Percentage Loss = $\frac{\text{Loss Amount}}{\text{Cost Price}} \times 100%$
Percentage Loss = $\frac{12.25}{100} \times 100%$
Percentage Loss = $12.25%$ Therefore, there was a loss of 12.25%.