​The profit is 50% on sales. What is its percentage on cost ?

Correct option is A

The correct answer is (a) 100%

Explanation:
• Let the cost price (C.P.) = ₹100.
• Profit is 50% on sales, meaning Profit = 50% of Selling Price (S.P.).
• Let S.P. = x → Profit = 0.5x → C.P. = x − 0.5x = 0.5x → x = 2 × C.P.
• Therefore, Profit = S.P. − C.P. = 200 − 100 = ₹100 → Profit% on C.P. = (100/100) × 100 = 100%

Information Booster:
• Profit% on cost = (Profit/S.P.) × [100 / (100 − Profit% on sales)].
• Formula relation: Profit on cost = (Profit on sales × 100) / (100 − Profit on sales).
• If profit is 50% on sales → (50 × 100) / (100 − 50) = 5000 / 50 = 100%.
• Profit on sales < Profit on cost for same data.
• Always clarify “on cost” vs “on sales” in profit problems.