profit-loss and mark up , mark down

Question

Mr. Sajid usually makes a 45% profit on every radio he sells . During a sale , he reduces his margin of profit to 40% while his sales increase by 10% . What is the ratio of his new total profit to the original profit ?

Answer 1

let p = the price per radio and let r = the number of radios.

 

His original profit can then be represented by .45*p*r.

 

If he reduces according to your word problem, the new profit will be represented by .4*p*(1.1*r) = .44pr

 

So your ratio is 44/45.

 

Hope this helped