Profit and Loss - A Shortcut

Hello Friends,

Today, let me share with you a shortcut concerned with "Profit and Loss" portion from Quants:-

A shopkeeper sells two of his products at the same price = 120. But, one of these, he sells at a profit of 10% and the other at a loss of 10%. Find the total profit\loss that the shopkeeper made.

The one thing that we need to understand here is that, in such a scenario there will always be a loss.

And the loss percentage, irrespective of the selling and cost price will be given

BY THE FOLLOWING GENERAL FORMULA:-

where "x" is the percentage loss and profit.

Solution :-

In this case, using the formula, we can easily say that the shopkeeper suffers a loss and the loss percentage is (10\10)^2 = 1 %.