Correct Answer - Option 1 : 25%
Given:
The selling price of the article is 5/4 of its cost price.
Concept:
Gain: The amount gained by selling a product with more than its cost price.
Formula used:
Profit = Selling Price - Cost price
Profit percentage = (Profit/Cost Price) × 100
Calculation:
Let the cost price of the article be 4x
So, the selling price of the article = 5x
Profit = 5x - 4x = x
Profit % = (x/4x) × 100 = 25%
∴ The profit per cent is 25%
