Some situations in which we use percentages

We use percentages to express profit and loss, discount and interest. Expressing these in percentages makes comparisons easy.

Profit and Loss Examples

1. Potter's Business Case

Activity: Makes pots on the wheel, bakes them in a kiln and decorates with paint Cost Breakdown:

Material: ₹3

Baking: ₹2

Painting: ₹1 per pot

Selling Price: ₹10 per pot

Question: Does the potter make profit or loss?

Cost Price: ₹50

Selling Price: ₹75

Question: Does he make profit or loss?

Purchase Price: ₹540 each

Situation: Shirts remain unsold till year end

Final Selling Price: ₹500 each

Question: Did the trader make a profit or loss?

Ratio Applications