A milkman has 20 litres of milk. If he mixes water, which is freely available, in 20 litres of pure milk. If the cost of pure milk is Rs. 18 per litre, then the profit of the milkman, when it sells all the mixture at cost price is:

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20%

25%

33.33%

18%

answer is B.

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Detailed Solution

Concept- Profit percentage is the amount of profit and loss that has been incurred in terms of percentage.
i.e. Profit percentage = Profit/Cost price × 100
Step 1- Here, the milkman adds 5 litres of water to 20 litres of pure milk, so he sells 25 litres of impure water. In which his 5 litres of water is his profit.
Therefore, profit = 5
Step 2- Now, we will use the above given formula of profit percentage
i.e. Profit percentage = Profit/Cost price × 100
= 5/20×100= 25%
The milkman makes 25% profit by adding 5 litres of water to 20 litres of milk.
Hence, the correct answer is option 2) 25%

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