Mathematics is one of the subject areas in which students must master concepts. Thorough practice is one of the most important aspects of mastering mathematics, and the International Maths Olympiad (IMO) is one such platform where students are trained to understand its fundamentals. In this article, you will get detailed information about IMO Class 5 Chapter 6: Profit and Loss.
International Maths Olympiad is held by School Connects Online. It is open to students in grades 1 to 10. All of the questions on these exams are multiple-choice. The Olympiad exam also serves as a foundation for students to achieve academic success. It gives students an advantage over their peers when solving difficult questions.
IMO class 5 chapter 6: Profit and Loss Detailed Notes
Mathematicians use the profit and loss formula to calculate market prices for goods and to assess how lucrative a company is. There is a selling price and a cost price for every good. We can determine the profit made or loss suffered for a certain product based on the values of these prices. Cost price, fixed, variable, and semi-variable costs, selling price, marked price, list price, margin, etc. are some of the keywords that are addressed in this article.
For a shopkeeper, for instance, it is a profit if the selling price of a good is higher than the cost price, and it is a loss if the cost price is higher than the selling price. In this post, we’ll talk about the notions of profit and loss as well as solutions to issues based on them.
Principal Concepts of Profit and Loss
Let’s study math principles related to profit and loss. In terms of cost price and selling price, it is well explained.
The profit made from selling a good for more than it cost.
A loss is defined as the sum the seller experiences after selling the good for less than its cost.
Cost price refers to the price paid to purchase a good or commodity. Denoted as CP as well. This cost price is divided into two more categories:
Fixed Cost: Under any conditions, the fixed cost remains constant.
Variable Cost: It may change depending on the quantity purchased and other elements.
Selling Price (SP)
The selling price is the price at which a product is sold. Typically, it is identified as SP. also known as a sale price on occasion.
Marked Price Formula (MP)
Shop owners essentially label this to provide a discount to the customers in such a way that,
Discount = Marked Price – Selling Price
Discount Percentage = (Discount/Marked price) x 100
Profit and Loss Formulas
The difference between the selling price and the cost price is the profit or gain. Cost price minus selling price equals loss.
Profit or Gain = Selling price – Cost Price
Loss = Cost Price – Selling Price
The following is the formula for the profit and loss percentage:
Profit percentage (P%) = (Profit /Cost Price) x 100
Loss percentage (L%) = (Loss / Cost price) x 100
Profit and Loss Examples
- A shopkeeper makes a 20 rupee profit if he purchases a piece of clothing for 100 rupees and sells it for 120 rupees.
- A salesperson has a loss of Rs. 50 if he purchases a textile material for Rs. 300 and must sell it for Rs. 250.
- If Ram purchases a football for Rs. 500 and sells it to a friend for Rs. 600, he will have made a profit of Rs. 100 (20% increase).
- These are a few typical applications of the profit and loss idea that we see every day in real life.
How to Get Ready for a Math Olympiad
Preparation is especially important when a student is taking a competitive exam, such as the International Math Olympiad. Maths Olympiad Workbooks and Previous Year Question Papers were introduced by School Connects Online for students in grades 1 to 10. Subject matter experts create the study materials. The questions are in multiple-choice format and cover topics from the most recent syllabus. Olympiad preparation material makes it easier to prepare for the games.
Also Read: How to prepare for Olympiads?
School Connect Online offers olympiads such as: