A stationery vendor buys pencils at the rate of 21 pencils for Rs. 20 and sells them at the rate of 20 pencils for Rs. 21. His profit percent is about:

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KVS TGT WET (Work Experience Teacher) 23 Dec 2018 Official Paper
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  1. 20%
  2. 5%
  3. 10%
  4. 15%

Answer (Detailed Solution Below)

Option 3 : 10%
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According to the given information:

A stationery vendor buys pencils at the rate of 21 pencils for Rs. 20 and sells them at the rate of 20 pencils for Rs. 21.

Given:

Cost Price of 21 pencils = Rs. 20

Selling Price of 20 pencils = Rs. 21

Selling Price of 1 pencil = Rs. 21 / 20 = Rs. 1.05 

Selling Price of 21 pencils = 21 × 1.05 = 22.05

⇒ Profit = Selling price - Cost price

⇒ Profit = 22.05 - 20

⇒ Profit = 2.05

⇒ Profit% = (profit/cost price) × 100

⇒ Profit% = (2.05 / 20) × 100

⇒ Profit% = (0.1025) × 100

⇒ Profit% = 10.25

Thus, the profit percent is 10.25 ≈ 10.

Hence, the correct answer is "10".

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