Question

A man gain 10% by selling an article for a certain price. If he sells it at double the price, What is the percentage of profit ?
1. 110%
2. 120%
3. 130%
4. 140%

Answer 1

Correct Answer - Option 2 : 120%

Given:

Gain% = 10%

Formula Used:

Gain% = Gain/Cost Price × 100

Gain = Selling price - Cost Price

Calculation: 

Case: 1

Let assume that Cost price be 100

Gain% = 10%

Gain = 10

⇒ Selling price = 100 + 10 = 110

Case: 2

Cost price = 100

Selling Price = 220

⇒ Gain = 220 -100 = 120

⇒ Gain% = 120/100 × 100

∴ Gain% = 120%

The correct option is 2 i.e. 120%