Ranjeet purchased an item for Rs. 3,500 and sold it at the loss of 25%. From that amount he purchased another item and sold it at the gain of 20%. What is his overall gain/loss?

Options

A. Loss of Rs 240
B. Gain of Rs 120
C. Loss of Rs 350
D. Neither gain nor loss

Answer

To solve the problem step-by-step, we will calculate the selling price after the loss on the first item, then use that amount to find the selling price after the gain on the second item, and finally determine the overall gain or loss.

### Step 1: Calculate the Selling Price of the First Item
Ranjeet purchased the first item for Rs. 3,500 and sold it at a loss of 25%.

- **Loss Percentage** = 25%
- **Selling Price (SP)** = Cost Price (CP) - Loss
- **Loss** = (Loss Percentage / 100) × CP = (25 / 100) × 3500 = Rs. 875

Now, we can find the Selling Price:
- **SP** = CP - Loss = 3500 - 875 = Rs. 2625

### Step 2: Use the Selling Price to Purchase the Second Item
The amount Ranjeet received from selling the first item is Rs. 2,625. He uses this amount to purchase the second item.

### Step 3: Calculate the Selling Price of the Second Item
Ranjeet sold the second item at a gain of 20%.

- **Gain Percentage** = 20%
- **Selling Price (SP)** = Cost Price (CP) + Gain
- **Gain** = (Gain Percentage / 100) × CP = (20 / 100) × 2625 = Rs. 525

Now, we can find the Selling Price:
- **SP** = CP + Gain = 2625 + 525 = Rs. 3150

### Step 4: Calculate Overall Gain or Loss
Now we need to determine the overall gain or loss by comparing the total amount received from selling the second item with the initial investment.

- **Initial Investment** = Rs. 3,500
- **Total Amount Received** = Rs. 3,150

To find the overall loss:
- **Loss** = Initial Investment - Total Amount Received = 3500 - 3150 = Rs. 350

### Conclusion
Ranjeet incurred an overall loss of Rs. 350.

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