An article is sold at a profit of 250%. What is the ratio of its cost price to selling price?
- (a)

- (b)

- (c)

- (d)

Answer
Why
Correct — D. Profit percentage is measured on the cost price, so fix CP at 100.
CP = 100
Profit = 250% of 100 = 250
SP = 100 + 250 = 350
CP : SP = 100 : 350
= 2 : 7 → option (d), the image reading 2 : 7.
Why the others are wrong
- (a)Option (a) shows 7 : 2 — the right numbers in the wrong order. That is SP : CP, and the question names cost price first.
- (b)Option (b) shows 2 : 5, which is CP : SP at a profit of 150% (CP 100, SP 250). A 250% profit carries SP to 350, not 250.
- (c)Option (c) shows 5 : 2, option (b) reversed — a 150% profit read back to front. Both the profit rate and the order of the ratio are wrong.
Concept
Profit percentage is always a percentage of the cost price, so the fastest route is to set CP = 100 and let SP follow.
SP = CP × (100 + p) ⁄ 100. At p = 250 that is 100 × 350 ⁄ 100 = 350.
So CP : SP = 100 : (100 + p) for any profit rate p, and 2 : 7 is simply that formula at p = 250. Learning the formula rather than the single answer covers every rate SSC can name.
The four options are supplied as images rather than text: (a) 7 : 2, (b) 2 : 5, (c) 5 : 2 and (d) 2 : 7.
Key facts
- Profit percentage and loss percentage are both calculated on the cost price.
- For a profit of p%, CP : SP = 100 : (100 + p).
- A 250% profit makes the selling price three-and-a-half times the cost price, giving CP : SP = 2 : 7.
Study next
Common traps
- Answering SP : CP when the question asks for CP : SP
- Taking 250% of the selling price rather than of the cost price
The same ratio-of-two-prices idea is asked from the discount side at 10 Sep 2024, 16:00, Quant Q.23, which allows a 20% discount on the marked price for a 10% gain and asks for the ratio of the cost price to the marked price.
Related PYQs
No directly related past PYQ was found.