Imran made a profit of 20 percent in the first year. Next year he had a loss of 25 percent on the capital he had at the beginning of the second year. What was his overall loss?
- 20 %
- 80 %
- 30 %
- 10 %
Explanation
Suppose Imran has x rupees
If he gain 20 percent profit
After one year rupees = X + 20% of X
X + 20X/ 100 = 110X + 20X / 100
120X/100
Now if he has lost 25% on 120X / 100 then
Rupees after seconds year
= 120X/100 – 25% of 120 X/100
=120X/100 – 25(120X)/10000
= 1200X-3000X/10000
= 1200X-3000X/10000
= 9000X/10000
=9X/10=90X/100=90% OF X
Total lost = 100 – 90 =10
X = 10 % of X
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