COST PRICE (CP):
The price at which an article is bought.
SELLING PRICE (SP):
The price at which an article is sold.
PROFIT :
If an article is sold at higher price than the proce at which it is bought then the seller is said to have profit.
LOSS:
If the cost at which an article was bought is higher than the price which it is sold then the seller is facing a loss.
(SP means Selling price, CP means Cost price,P means Profit, L means Loss)
If the article is sold at profit of 10% then SP=110% of CP
If the article is sold at 10% loss then SP=90% of CP
Profit = Selling price - Cost price.
Loss = Cost price - Selling price.
Ratio of profit to cost price = P : C.P.
Percentage of profit = (P/c.p)*100.
Percentage of loss = (L/c.p)*100.
