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A retailer buys a radio for Rs.225. His overhead expenses are Rs. 15. If he sells the radio for Rs. 300, determine his profit percent.

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25%

12%

30%

28%

answer is B.

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Detailed Solution

Given,
The radio costs is Rs.225 and overhead expenses is Rs.15, so the total cost price is,

⇒ CP = 225 + 15 ⇒ 240

Profit =
Now, profit percentage is,

Profit % = profit × 100 CP Profit % = (SP − CP) × 100 CP ⇒ (300 − 240) 100 240 ⇒ 25 %

The profit percent is 25%.
Therefore, option (2) is correct.

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