Question

If profit is defined as the difference between the selling price and the average cost, and each bottle is sold for Rs. 510, what is the approximate percent profit earned by the firm?

• A. 5%
• B. 10%
• C. 15%
• D. 17.5%
  % Correct answer \textbf{Correct answer:} (B) 10%

Hint:

Use formula: \( \text{Profit%} = \frac{\text{Selling Price} - \text{Cost Price}}{\text{Cost Price}} \times 100 \)

Answer 1

The Correct Option is B

Selling price per bottle = Rs. 510
From Q58, average cost per bottle = Rs. 465
\[ \text{Profit per bottle} = 510 - 465 = 45
\text{Percent profit} = \frac{45}{465} \times 100 = 9.68% \approx {10%} \]