Discount and Marked price

Cost Price(CP) + Profit(P) = Selling Price (S.P) Profit means, your Selling Price (S.P) is more than your Cost Price(C.P) This means, you sold something for more price than what you purchased it for. The extra price that you sold it for is called as Profit Cost Price(CP) + Profit(P) = Selling Price (S.P) We can say that the difference between Selling Price and Cost Price is Profit Profit(P) = Selling Price (SP) ̶ Cost Price(CP)

Cost Price(CP) ̶ Loss (L) = Selling Price (S.P) Loss means, your Cost Price (C.P) is more than your Selling Price(S.P) This means, you sold something for less price than what you purchased it for. The lesser price that you sold it for is called as Loss Cost Price(CP) ̶ Loss (L) = Selling Price (S.P) We can say that the difference between Cost Price and Selling Price is Loss Loss(L) = Cost Price(CP) - Selling Price (SP)

Marked price When a shopkeeper takes a good from the dealer to his outlet for sales, he has to make profit in his business. So he marks the price higher than the cost price of goods. The price is called Tag price or Marked price(MP). In the example a furniture shop want to make profit of Rs 1500 for selling sofa. The Cost Price(CP) of sofa is Rs 3500. So he fixes the Marked Price(MP) as Marked price(MP) = 3500 + 1500 = Rs 5000

Discount If the dealer has difficulty to sell the product he provides a discount. The reduction of cost on marked price for the purpose of attracting customers or some other reasons is called discount. To improve sales, the furniture shop started giving Discount(D) of Rs 750 for a sofa. Therefore the Selling Price(SP) of the sofa is as follows Selling Price (SP) = Marked Price (MP) – Discount(D) = 5000 – 750 = 4250 Even after giving discount the shopkeeper still makes profit. Profit(P) = Selling price(SP) - Cost Price(CP) = 4250 - 3500 = Rs 750 The furniture shop by giving discount attracted more customer and also made profit of Rs 750 for each sofa

Selling Price(SP) = Marked Price (MP) – Discount(D) If Marked Price and Discount is given Selling Price can be calculated as follows Selling Price(SP) = Marked Price (MP) – Discount(D) If Selling Price and Discount is given Marked Price can be calculated as follows Marked Price (MP) = Selling Price(SP) + Discount(D) If Marked Price and Selling Price is given Discount can be calculated as follows Discount(D) = Marked Price (MP) – Selling Price(SP)

Example2 : - Find Cost Price and Marked Price if Selling Price is Rs 2300, Discount is Rs 250 and Loss is Rs 500 Solution:- Given:- Selling Price(SP) =Rs 2300, Discount(D) = Rs 250 , Loss(L) = Rs 500 To Find:- Cost Price(CP) and Marked Price(MP) If Marked Price and Discount is given Selling Price can be calculated as follows Selling Price(SP) = Marked Price (MP) – Discount(D) = 2300 = 2550 Cost Price(CP) = Selling Price(SP) + Loss(L) = 2300 + 500 = 2800 Ans:- Marked Price (MP) =Rs 2550 , Cost Price = 2800 SP = MP – D MP = SP + D D = MP - SP CP = SP + L SP = CP - L

Example1 : - Find Selling price and profit if Cost Price is Rs 1000, Marked price is Rs 1500 and Discount is Rs 250 Solution:- Given:- Cost Price(CP)=Rs 1000, Marked price(MP)=Rs 1500 , Discount(D)=Rs 250 To Find:- Selling price(SP) and profit(P) If Marked Price and Discount is given Selling Price can be calculated as follows Selling Price(SP) = Marked price(MP) - Discount(D) = 1500 - 250 = 1250 Profit(P) = Selling Price (SP) - Cost Price(CP) =1250 - 1000 = 250 Ans:- Selling Price=Rs 1250 , Profit = Rs 250 SP = MP – D MP = SP + D D = MP - SP P = SP ̶ CP L = CP ̶ SP

Example3 : - Find Discount and Cost Price if Marked Price is Rs 2500, Selling Price is Rs 220 and Profit is Rs 400 Solution:- Given:- Marked Price(MP)=Rs 2500, Selling Price(SP) = Rs 220, Profit(P) = Rs 400 To Find:- Discount(D) and Cost Price(CP) If Marked Price and Selling Price is given Discount can be calculated as follows Discount(D) = Marked Price (MP) – Selling Price(SP) = 2500 - 2200 = 300 Cost Price(CP) = Selling Price(SP) - Profit(P) = 2200 - 400 = 1800 Ans:- Discount =Rs 300 , Cost Price = Rs 1800 SP = MP – D MP = SP + D D = MP - SP CP = SP - P SP = CP + P

Example4 : - Find Selling Price and Cost Price if Marked Price is Rs 3500 , No Discount and No profit or Loss Solution:- Given:- Marked Price(MP) = Rs 3500, Discount(D) =Rs 0 , Profit(P) = Rs 0 To Find:- Selling Price(SP) and Cost Price(CP) If Marked Price and Discount is given Selling Price can be calculated as follows Selling Price(SP) = Marked Price (MP) – Discount(D) = 3500 - 0 = 3500 Cost Price(CP) = Selling Price(SP) - Profit(P) = 3500 - 0 = 3500 Ans:- Selling Price =Rs 3500 , Cost Price = 3500 SP = MP – D MP = SP + D D = MP - SP CP = SP - P SP = CP + P

Marked Price is Rs 3500 and Discount is Rs 750 Solution:- Example5 : - Find Selling Price and Profit/Loss value if Cost Price is Rs 3100 , Marked Price is Rs 3500 and Discount is Rs 750 Solution:- Given:- Cost Price(CP) =Rs 3100 , Marked Price(MP) = Rs 3500 ,Discount(D) is Rs 750 To Find:- Selling Price and Profit/Loss value If Marked Price and Discount is given Selling Price can be calculated as follows Selling Price(SP) = Marked price(MP) - Discount(D) = 3500 - 750 = 2750 Since CP> SP there is Loss Loss(L) = Cost Price(CP) – Selling Price(SP) = 3100 – 2750 = 350 Ans:- Selling Price = Rs 2750 , Loss= 350 SP = MP – D MP = SP + D D = MP - SP P = SP ̶ CP L = CP ̶ SP

Try these 1. Find Cost Price and Marked Price if Selling Price is Rs 2300, Discount is Rs 250 and Loss is Rs 500 2. Find Selling Price and Profit/Loss value if Cost Price is Rs 1500 , Marked Price is Rs 2300 and Discount is Rs 200