CBSE Class 7 Mathematics – 11. Profit and Loss (Notes)

Notes on Profit and Loss

Learning Goal

1. Cost Price
2. Selling Price
3. When we get Profit & Loss
4. To find Profit or loss percentage
5. To find SP if CP and profit or loss % is given?
6. To find CP if SP and profit or loss % is given?

Buying and Selling

Cost Price

Cost price is the price at which you buy some product. It is written as CP.

Selling Price

Selling price is the price at which you sell something. It is written as SP.

These are the factors which tell us that the sale of some product is profitable or not.

CP < SP	Profit	Profit = SP – CP
CP = SP	No profit no loss	–
CP > SP	Loss	Loss = CP – SP

Example

If the buying price (or CP) of a table is Rs 700 and the selling price (or SP) is Rs 820, then find the profit or loss.

Solution

As the SP is more than CP, so the seller earns the profit in the table.

 Profit made = SP – CP 

= Rs 820 – Rs 700

= Rs 80

Profit or loss percentage

The profit and loss can be converted into a percentage. It is always calculated on the cost price.

Example

If the cost price of a laptop is Rs.45000 and the selling price is Rs. 50000, then what is the profit or loss percentage?

Solution

How to find SP if CP and profit or loss % is given?

Example

If the cost of a TV is Rs.25000 and shopkeeper sells it at a loss % of 5% then what is the selling price of the TV?

Solution

Hence, the shopkeeper sells it at the price of Rs. 23750

How to find CP if SP and profit or loss % is given?

Example

If the Selling price of a bookshelf is Rs 750 and the profit made by the seller is 10% then what is the cost price of the bookshelf?

Solution

Hence the seller bought the bookshelf at the cost of Rs. 682.