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Question : A shopkeeper earns 10% on an investment but loses 20% on another investment. If the ratio of the two investments is 2 : 3, then the combined loss percentage is:

Option 1: 5.5%

Option 2: 7%

Option 3: 6%

Option 4: 8%


Team Careers360 5th Jan, 2024
Answer (1)
Team Careers360 18th Jan, 2024

Correct Answer: 8%


Solution : Given, that a shopkeeper earns 10% on an investment but loses 20% on another investment.
Ratio of the two investments = 2 : 3
Let the investments be INR 200 and INR 300
Total investment = INR 500
Amount after 10% profit on INR 200 = 200 + $\frac{10}{100}\times$ 200 = INR 220
Amount after 20% profit on INR 300 = 300 – $\frac{20}{100}\times$ 300 = INR 240
Final amount = 220 + 240 = INR 460
Combined loss = $\frac{\text{Final amount – Total investment}}{\text{Total investment}}$ = $\frac{500-460}{500}\times 100$ = 8%
Hence, the correct answer is 8%.

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