Two bicycles were sold for Rs. 3990 each, gaining 5% on one and losing 5% on the other. The gain or loss percent on the whole transaction is
A)neither gain nor loss
B)2.5% gain
C)2.5% loss
D)0.25% loss

Question

Quizplus · Accepted Answer

The overall effect when equal amounts are sold at the same percentage of gain and loss results in a loss, calculated by the formula $(\text{Loss %} = \left(\frac{\text{Common Loss and Gain %}}{10}\right)^2)$. Here, it's $(\frac{5}{10})^2 = 0.25\%$.

Two Bicycles Were Sold for Rs