Step 1: Assume cost price base.
Let total cost price of all items (books, CDs, DVDs) = ₹ 100x.
Given overall profit = 20%, so total selling price =
\[
\text{S.P.}_{\text{total}} = 120x
\]
Step 2: Split into contributions.
It is given CDs contribute 35% of total sales.
\[
\text{S.P.}_{\text{CD}} = 0.35 \times 120x = 42x
\]
Also, sales from books = 50% more than CDs = $42x \times 1.5 = 63x$.
So,
\[
\text{S.P.}_{\text{books}} = 63x, \quad \text{S.P.}_{\text{DVDs}} = 120x - (42x+63x) = 15x
\]
Step 3: Compute cost prices of CDs and books.
- CDs: 40% profit $\Rightarrow$ C.P. = $\frac{100}{140}\times 42x = 30x$.
- Books: 25% profit $\Rightarrow$ C.P. = $\frac{100}{125}\times 63x = 50.4x$.
Step 4: Deduce cost price of DVDs.
Total C.P. = $100x$.
So,
\[
\text{C.P.}_{\text{DVDs}} = 100x - (30x+50.4x) = 19.6x
\]
Step 5: Compute loss on DVDs.
Loss = C.P. – S.P. = $19.6x - 15x = 4.6x$.
Loss% = $\dfrac{4.6x}{19.6x}\times 100 = 23.47% \approx 23.4%$.
Final Answer:
\[
\boxed{23.4% \ \text{loss}}
\]