Profit and loss at the school fair
Buy things for your school fair stall and sell them. Change the cost price and the selling price, and find the profit or loss in rupees and per cent.
Core concept
In short: Run a shop: buy, sell, and work out your profit or loss.
When the selling price is more than the cost price there is a profit; when it is less there is a loss; profit or loss per cent = profit or loss ÷ cost price × 100
Topic: Profit and loss
A shopkeeper buys goods and sells them. The price paid to buy is the cost price (CP); the price received when selling is the selling price (SP). If SP is more than CP, the shopkeeper makes a profit: profit = SP − CP. If SP is less than CP, there is a loss: loss = CP − SP. If they are equal, there is no profit and no loss. To compare deals of different sizes we use a percentage of the cost price: profit per cent = profit ÷ CP × 100. In this lab you run a stall at the school fair.
What you will learn
- Define cost price, selling price, profit and loss.
- Calculate profit and loss in rupees.
- Calculate profit or loss per cent of the cost price.
Before you start
- Know that per cent means out of 100.
Materials
- Price tags for a pretend stall
Equipment
- A notebook and pencil
Procedure
- Buy for Rs 80, sell for Rs 100, and record.
- Buy for Rs 80, sell for Rs 60, and record.
- Buy for Rs 80, sell for Rs 80, and record.
- Buy for Rs 50, sell for Rs 60, and record.
How this simulation is simplified
- Prices are for one item; there are no other costs.