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A sells an article to B at a certain price. B then sells it to C at 25% profit. C then sells it to D at 20% profit. Now D again sells it to A such that A makes no profit no loss. What is the profit/loss incurred to D?

A sells an article to B at a certain price. B then sells it to C at 25% profit. C then sells it to D at 20% profit. Now D again sells it to A such that A makes no profit no loss. What is the profit/loss incurred to D? Correct Answer 33.3% loss

Suppose A sold the article to B at Rs. 100. SP for A = CP for B = 100

⇒ B then sells it to C at 25% profit. Therefore, SP for B = CP for C = 125

⇒ C then sells it to D at 20% profit. Therefore, SP for C = CP for D = 125 + 0.2 × 125 = 150

⇒ D now sells it to A at 100 (No profit/no loss)

⇒ Loss incurred to D = (150 – 100)/150 × 100 = 100/3%

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