Question

A tea merchant blends two varieties of tea in the ratio of 5:4. The cost of first variety is Rs 200 per kg and that of second variety is Rs 300 per kg. If he sells the blended tea at the rate of Rs 275 per kg, then find out the percentage of his profit or loss.

Answer 1

Given, ratio of blended two varieties of tea (green tea : lemon tea) = 5:4

Cost of green tea = Rs 200 per kg

Cost of lemon tea = Rs 300 per kg

SP of blended tea = Rs 275 per kg

According to the ratio,

Let green tea be 5x kg and lemon tea be 4x kg.

Then, cost of green tea = 5x x 200 = Rs 1000x

Cost of lemon tea = 4x x 300 = Rs 1200x

Total CP = 1000x + 1200x = Rs 2200x

Total quantity = 4x + 5x = 9x kg

So, for 9x kg,

SP of blended tea = 275 x 9x = ₹2475x

CP < SP

So, there is profit on blended tea.

Profit = SP - CP

= 2475x - 2200x

= ₹275x

Profit% = Profit/CP x 100%

= 275x/2200x  x 100%

= 275/22

= 12.5%

Hence, there is 12.5% profit on blended tea.