A car dealer bought a second-hand car for 250,000 and spent N 70,000 refurbishing it. He…

A car dealer bought a second-hand car for 250,000 and spent N 70,000 refurbishing it. He then sold the car for N400,000. What is the percentage gain?

  • A.
    60%
  • B.
    32%
  • C.
    25%
  • D.
    20%
Correct Answer: Option C
Explanation

Total Cost Price = N(250,000 + 70,000)
= N 320,000
Selling Price = N 400,000(Given)
Gain = Selling Price – Cost Price
= 400,000 – 320,000
= 80,000
% gain = (frac{text{Gain}}{text{Cost Price}}) × 100
= (frac{80,000}{320,000}) × 100
Gain % = 25%

There is an explanation video available below.

You May Also Like