PPT: Discount

 Page 1


Profit, Loss & Discount
Page 2


Profit, Loss & Discount
I n t r o d u c tio n
Every product has a cost price and a selling price.
Based on the values of these prices, we can calculate the profit gained or the loss 
incurred for a particular product.
Questions typically involve applying percentage concepts, successive changes, and 
tricky cases like dishonest dealers.
Page 3


Profit, Loss & Discount
I n t r o d u c tio n
Every product has a cost price and a selling price.
Based on the values of these prices, we can calculate the profit gained or the loss 
incurred for a particular product.
Questions typically involve applying percentage concepts, successive changes, and 
tricky cases like dishonest dealers.
Basic Terms
Cost Price (CP)
The amount paid by a 
vendor for a product or 
commodity to purchase it
Selling Price (SP)
The amount for which the 
product is sold. Also 
called sale price
Marked Price (MP)
The price at which an 
item is marked for sale
Page 4


Profit, Loss & Discount
I n t r o d u c tio n
Every product has a cost price and a selling price.
Based on the values of these prices, we can calculate the profit gained or the loss 
incurred for a particular product.
Questions typically involve applying percentage concepts, successive changes, and 
tricky cases like dishonest dealers.
Basic Terms
Cost Price (CP)
The amount paid by a 
vendor for a product or 
commodity to purchase it
Selling Price (SP)
The amount for which the 
product is sold. Also 
called sale price
Marked Price (MP)
The price at which an 
item is marked for sale
1. Cost Price (CP)
The amount paid by a vendor for a product or 
commodity to purchase it is called a cost price. 
Also, denoted as CP.
This cost price is further classified into two 
different categories:
Fixed Cost: The fixed cost is constant; it 
doesn't vary under any circumstances
Variable Cost: It could vary depending on the 
number of units
Page 5


Profit, Loss & Discount
I n t r o d u c tio n
Every product has a cost price and a selling price.
Based on the values of these prices, we can calculate the profit gained or the loss 
incurred for a particular product.
Questions typically involve applying percentage concepts, successive changes, and 
tricky cases like dishonest dealers.
Basic Terms
Cost Price (CP)
The amount paid by a 
vendor for a product or 
commodity to purchase it
Selling Price (SP)
The amount for which the 
product is sold. Also 
called sale price
Marked Price (MP)
The price at which an 
item is marked for sale
1. Cost Price (CP)
The amount paid by a vendor for a product or 
commodity to purchase it is called a cost price. 
Also, denoted as CP.
This cost price is further classified into two 
different categories:
Fixed Cost: The fixed cost is constant; it 
doesn't vary under any circumstances
Variable Cost: It could vary depending on the 
number of units
2. Selling Price (SP)
The amount for which the product is sold is called 
the Selling Price. It is usually denoted as SP. It is 
also called sale price.