A ratio of the cost price and the selling price of an article is 4 : 5. What is the percentage gain or loss?

Correct option is D

Given:

Cost Price (CP) : Selling Price (SP) = 4 : 5.

Formula Used:

Profit % =$$\left( \frac{\text{Profit}}{\text{Cost Price}} \right) \times 100$$​

Solution:

Let the Cost Price = ₹4,
Then the Selling Price = ₹5

So, Profit = SP - CP = 5 - 4 = ₹1

Now,

Profit %$$= \left( \frac{1}{4} \right) \times 100 = 25\%$$​