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A sells a watch to B and makes a loss of...

A sells a watch to B and makes a loss of 12%. B dismakes a profit of 12`1/2`% by selling the watch to C. If A sells the watch to B at the cost of which C pruchased it, then the percentage of profit or loss is

A

1% Loss

B

1% Profit

C

2% Loss

D

2% profit

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will first define the cost price (CP) of the watch for A, then calculate the selling price (SP) for A when he sells to B, and subsequently find the selling price for B when he sells to C. Finally, we will determine the profit or loss percentage when A sells the watch at the cost price of what C purchased it for. ### Step 1: Assume the Cost Price of A Let the cost price (CP) of the watch for A be ₹100. **Hint:** Start by assuming a simple value for CP to make calculations easier. ### Step 2: Calculate the Selling Price of A to B A sells the watch to B at a loss of 12%. - Loss = 12% of 100 = 12 - Selling Price (SP) of A to B = CP of A - Loss = 100 - 12 = ₹88. **Hint:** Use the formula SP = CP - (Loss% × CP) to find the selling price after a loss. ### Step 3: Calculate the Selling Price of B to C B sells the watch to C at a profit of 12.5%. - Profit = 12.5% of 88 = (12.5/100) × 88 = ₹11. - Selling Price (SP) of B to C = CP of B + Profit = 88 + 11 = ₹99. **Hint:** Use the formula SP = CP + (Profit% × CP) to find the selling price after a profit. ### Step 4: Determine the Selling Price of A when selling at C's Cost Price According to the problem, A sells the watch to B at the cost price at which C purchased it, which is ₹99. **Hint:** Recognize that A's selling price to B is equal to C's purchase price. ### Step 5: Calculate the Profit or Loss for A Now we need to find out if A incurs a profit or a loss when selling at ₹99. - Loss = CP of A - Selling Price of A = 100 - 99 = ₹1. ### Step 6: Calculate the Percentage of Loss Now, we calculate the percentage of loss: - Percentage of Loss = (Loss / CP of A) × 100 = (1 / 100) × 100 = 1%. **Hint:** Use the formula for percentage loss: (Loss / CP) × 100 to find the percentage. ### Conclusion A incurs a loss of 1% when selling the watch to B at the cost at which C purchased it. **Final Answer:** 1% loss.
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