Correct Answer - Option 1 : 20%
Given:
Goods are sold by a man at 25% loss on selling price.
Concepts used:
Loss % = (Loss/C.P.) × 100
Loss = C.P. – S.P.
Calculation:
Let S.P. of goods be Rs. x.
⇒ 25 = (C.P. – x)/x × 100
⇒ C.P. = 5x/4
⇒ Actual Loss = (5x/4) – x = x/4
Actual loss % = (Loss/C.P.) × 100
⇒ Actual loss % = (x/4)/5x/4 × 100 = 20%
∴ Actual loss % is equal to 20%.