A store sells a watch for a profit of 25% of its cost price. Then the percentage of profit against selling price is ::

Options

A. A) 22%
B. B) 20%
C. C) 18%
D. D) 15%

Answer

To solve the problem step by step, we can follow these instructions:

### Step 1: Understand the given information
We know that the store sells a watch for a profit of 25% of its cost price (CP).

### Step 2: Assume a cost price
Let's assume the cost price (CP) of the watch is 100 rupees. This assumption makes calculations easier.

### Step 3: Calculate the selling price (SP)
Since the profit is 25% of the cost price:
- Profit = 25% of CP = 25% of 100 = 25 rupees.
- Therefore, Selling Price (SP) = CP + Profit = 100 + 25 = 125 rupees.

### Step 4: Calculate the profit amount
The profit amount is already calculated as 25 rupees.

### Step 5: Calculate the percentage of profit against the selling price
To find the percentage of profit against the selling price, we use the formula:
\[ \text{Percentage of Profit} = \left( \frac{\text{Profit}}{\text{Selling Price}} \right) \times 100 \]
Substituting the values we have:
\[ \text{Percentage of Profit} = \left( \frac{25}{125} \right) \times 100 \]

### Step 6: Simplify the calculation
\[ \text{Percentage of Profit} = \left( \frac{25}{125} \right) \times 100 = \left( \frac{1}{5} \right) \times 100 = 20\% \]

### Conclusion
Thus, the percentage of profit against the selling price is **20%**.