Question

The costs of flour and sugar are #1.40 and #1.60 respectively. To prepare cake the two items are mixed in the ratio 2:3, and the mixture is then sold at #2.40 per kg. Find the gain or loss per cent

Answer 1

The costs of flour and sugar are #1.40 and #1.60 respectively. To prepare cake the two items are mixed in the ratio 2:3, and the mixture is then sold at #2.40 per kg. Find the gain or loss per cent

Since they are mixed in the ratio of 2:3, then let us work with 5 kg mix( 2 + 3 = 5).

Cost of mix is: 2*1.40 + 3*1.60 = 2.80 + 4.80 = 7.60

Income from sale = 5*2.40 = 12.00

Profit = Income – Cost = 12.00 – 7.60 = 4.40 gain

Percentage gain = Profit/Cost = 4.40/7.60 = 0.5789

Answer: Profit = 57.9% gain