A trader sells wire and gain a 60% on the cost price. What will be the profit percentage on selling price?

Options

A. 33.33
B. 40
C. 60
D. 37.5

Answer

To solve the problem step by step, we will follow these calculations:

### Step 1: Understand the given information
We know that the trader gains a profit of 60% on the cost price (CP).

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

### Step 3: Calculate the selling price
Since the profit is 60% of the cost price:
- Profit = 60% of CP = 60% of ₹100 = ₹60

Now, we can calculate the selling price (SP):
- Selling Price (SP) = Cost Price + Profit
- SP = ₹100 + ₹60 = ₹160

### Step 4: Calculate the profit
We already calculated the profit in Step 3, which is ₹60.

### Step 5: Calculate the profit percentage on selling price
The profit percentage on selling price is calculated using the formula:
\[ \text{Profit Percentage on SP} = \left( \frac{\text{Profit}}{\text{Selling Price}} \right) \times 100 \]

Substituting the values we have:
- Profit = ₹60
- Selling Price = ₹160

So,
\[ \text{Profit Percentage on SP} = \left( \frac{60}{160} \right) \times 100 \]

### Step 6: Simplify the fraction
Now, simplify the fraction:
- \( \frac{60}{160} = \frac{3}{8} \)

### Step 7: Calculate the final profit percentage
Now, multiply by 100:
\[ \text{Profit Percentage on SP} = \frac{3}{8} \times 100 = 37.5\% \]

### Conclusion
Thus, the profit percentage on the selling price is **37.5%**.

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