Profit and Loss Practice Questions for CMAT & CUET 2026 — Complete Set with Answers
- Jul 29, 2025
- 4 min read
Updated: Apr 13
Understanding Profit and Loss is essential for effective preparation for the Common Management Admission Test (CMAT). Percentages are not only a fundamental mathematical concept but also a critical tool used in various management scenarios, including financial analysis, budgeting, and performance evaluation. Mastering percentages enables candidates to interpret data accurately, make informed decisions, and apply mathematical reasoning to real-world business situations. As the CMAT exam assesses a candidate's ability to apply management principles, a strong grasp of percentages can significantly enhance overall performance.
Profit And Loss Questions For CMAT & CUET 2026
A sells an article to B at 10% profit. B sells it to C at 20% profit. If C pays Rs 264, find the cost price for A.
By selling 20 articles, a trader gains the selling price of 5 articles. Find the profit percentage.
A merchant sold an article at a loss of 5%. Had he sold it for Rs 150 more, he would have gained 10%. Find the cost price.
The cost price of 15 articles equals the selling price of 12. Find profit or loss percentage.
A shopkeeper marks his goods 25% above cost price and allows a discount of 10%. Find his profit percentage.
A trader marks his goods 30% above cost price and allows a 20% discount. What is his profit or loss percent?
If an article is sold for Rs 360, there is a loss of 10%. For what price should it be sold to gain 10%?
A man buys two articles for Rs 5000 each. He sold one at a profit of 5% and the other at a loss of 5%. What is his overall profit or loss?
A shopkeeper sells rice at 10% profit and uses weights 20% less than the actual weight. What is his actual profit%?
By selling 45 lemons for Rs 40, a man loses 20%. How many lemons should he sell for Rs 24 to gain 20%?
Frequently Asked Questions — Profit and Loss for CAT & IPMAT 2026
What is the basic formula for profit and loss?
Profit = Selling Price (SP) - Cost Price (CP). Loss = CP - SP. Profit% = (Profit/CP)×100. Loss% = (Loss/CP)×100. SP = CP×(1 + Profit%/100) and SP = CP×(1 - Loss%/100).
How many Profit and Loss questions appear in CAT each year?
Profit & Loss typically contributes 1–3 questions per year in CAT QA. However, it overlaps with percentage problems, successive discount/markup questions, and partnership calculations — so the effective impact is higher.
What are the most common types of P&L questions in CAT and IPMAT?
Common types include: successive discounts/markups, cost price when profit% and SP are given, dishonest dealings (false weights), partnership profit distribution, and compound interest-based P&L mixing.
How do I solve questions involving successive discounts?
For two successive discounts of x% and y%, the effective discount = x + y - xy/100. Example: 20% then 10% discount = 20 + 10 - 20×10/100 = 28% effective discount. This formula saves significant time in exams.
What is the concept of marked price and how is it different from cost price?
Marked Price (MP) is the price listed on the product (before discount). Cost Price (CP) is what the seller paid. Selling Price (SP) is after discount: SP = MP×(1-discount%/100). Profit or loss is calculated based on CP, not MP.
How are dishonest trader (false weight) problems solved?
Profit% = (True weight - False weight) / False weight × 100. For example, if a trader uses a 900g weight as 1kg, profit% = (1000-900)/900 × 100 = 11.11%. CAT tests this concept in both direct and applied forms.
Is Profit & Loss important for IPMAT IIM Indore preparation?
Yes, P&L is important for IPMAT. IIM Indore's IPMAT paper frequently tests arithmetic topics including P&L, percentage, and ratio. The questions are moderate in difficulty — focus on formula fluency and speed over complex derivations.
How should I practice P&L questions to improve my CAT score?
Start with the core formulas, practice 20 basic problems to build speed, then solve 20 moderate questions involving successive changes and dishonest traders. Finally, attempt 10 advanced questions and time yourself. Review your errors carefully.
Frequently Asked Questions — Profit and Loss for CAT & IPMAT 2026
What is the basic formula for profit and loss?
Profit = Selling Price (SP) - Cost Price (CP). Loss = CP - SP. Profit% = (Profit/CP)×100. Loss% = (Loss/CP)×100. SP = CP×(1 + Profit%/100) and SP = CP×(1 - Loss%/100).
How many Profit and Loss questions appear in CAT each year?
Profit & Loss typically contributes 1–3 questions per year in CAT QA. However, it overlaps with percentage problems, successive discount/markup questions, and partnership calculations — so the effective impact is higher.
What are the most common types of P&L questions in CAT and IPMAT?
Common types include: successive discounts/markups, cost price when profit% and SP are given, dishonest dealings (false weights), partnership profit distribution, and compound interest-based P&L mixing.
How do I solve questions involving successive discounts?
For two successive discounts of x% and y%, the effective discount = x + y - xy/100. Example: 20% then 10% discount = 20 + 10 - 20×10/100 = 28% effective discount. This formula saves significant time in exams.
What is the concept of marked price and how is it different from cost price?
Marked Price (MP) is the price listed on the product (before discount). Cost Price (CP) is what the seller paid. Selling Price (SP) is after discount: SP = MP×(1-discount%/100). Profit or loss is calculated based on CP, not MP.
How are dishonest trader (false weight) problems solved?
Profit% = (True weight - False weight) / False weight × 100. For example, if a trader uses a 900g weight as 1kg, profit% = (1000-900)/900 × 100 = 11.11%. CAT tests this concept in both direct and applied forms.
Is Profit & Loss important for IPMAT IIM Indore preparation?
Yes, P&L is important for IPMAT. IIM Indore's IPMAT paper frequently tests arithmetic topics including P&L, percentage, and ratio. The questions are moderate in difficulty — focus on formula fluency and speed over complex derivations.
How should I practice P&L questions to improve my CAT score?
Start with the core formulas, practice 20 basic problems to build speed, then solve 20 moderate questions involving successive changes and dishonest traders. Finally, attempt 10 advanced questions and time yourself. Review your errors carefully.
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