Profit and Loss Formulas:

1. Selling Price (SP): The price at which an article is sold to the customer is called the selling price. It is denoted by SP.

2. Cost Price (CP): The price at which an article is purchased is called the cost price. It is denoted by CP.

3. Profit (P): When the selling price is greater than the cost price, the difference between SP and CP is called profit. It is denoted by P.

4. Loss (L): When the selling price is less than the cost price, the difference between CP and SP is called loss. It is denoted by L.

5. Discount (D): The reduction in price offered on an article is called a discount. It is denoted by D.

6. Discount Percentage (D%): The percentage of the discount on the marked price is called the discount percentage. It is denoted by D%.

7. Profit Percentage (P%): The percentage of profit earned on the cost price is called the profit percentage. It is denoted by P%.

8. Loss Percentage (L%): The percentage of loss incurred on the cost price is called the loss percentage. It is denoted by L%.

Formulas:

1. Profit: Profit (P) = SP - CP

2. Loss: Loss (L) = CP - SP

3. Selling Price: Selling Price (SP) = CP + Profit

4. Cost Price: Cost Price (CP) = SP - Profit

5. Discount Amount: Discount Amount = Marked Price - Selling Price

6. Discount Percentage: Discount Percentage (D%) = (Discount Amount / Marked Price) * 100

7. Profit Percentage: Profit Percentage (P%) = (Profit / CP) * 100

8. Loss Percentage: Loss Percentage (L%) = (Loss / CP) * 100

Explanation:

- Selling Price (SP): It is the price at which an article is sold to the customer.
- Cost Price (CP): It is the price at which an article is purchased.
- Profit (P): It is the difference between the selling price and the cost price. If SP > CP, then P is positive.
- Loss (L): It is the difference between the cost price and the selling price. If CP > SP, then L is positive.
- Discount (D): It is the reduction in price offered on an article.
- Discount Percentage (D%): It is the percentage of the discount on the marked price.
- Profit Percentage (P%): It is the percentage of profit earned on the cost price.
- Loss Percentage (L%): It is the percentage of loss incurred on the cost price.

The formulas mentioned above are used to calculate the various aspects of profit and loss in business transactions. These formulas are essential for understanding and analyzing financial transactions and determining the success or failure of a business