Taye is a retailer. He went about his business to purchase tins of milk at a famous wholesale store.

The consumer price regulatory commission, an agency solely established to protect consumers from exploitation and promotes fairness in competition had already, by law, stipulated the uniform retail price of different consumer goods, including this particular good Taye wants to buy. The prices' list are printed on and displayed at every store accross the country.

Taye bought 4 units/tins of milk whose cost totals to 500% of the cost price of a unit commodity of the milk.

Had Taye sold at the stipulated price by law(he was suppose to sell a this price), the average profit gotten from the sale of the four tins of milk would'v been 5% of the total cost price he bought all 4 tins, but he sold all 4 tins to a gullible buyer at a mark-up of 40% on the sellin price of each tin of milk.

The buyer handed a naira note which was 1250% of the cost price of a tin of milk and Taye handed over her change/balance.

The new unit profit is what percent of the unit cost price?

What fraction of buyer's change is the total cost price?

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Olutola88, meryl4merit, UchihaMadara, Obinoscopy, CarlOzeki, Snowland, Tinkybabe, hopelink1,, vengeance, kobonaire, McWhillion, hopelink1. Attentions needed. Contributions and corrections welcomed..

Oya laff:

That awkward silence when Abraham and isaac were walking home after he tried to sacrifice him...Abraham: I love u son , Isaac: If I hear!!!"

paranorman: Olutola88, meryl4merit, UchihaMadara, Obinoscopy, CarlOzeki, Snowland, Tinkybabe, hopelink1, paranorman, vengeance, kobonaire, McWhillion, hopelink1. Attentions needed. Contributions and corrections welcomed..

Mr. paranorman , I'm not in a good mood tonight. I can't reason well in this state of mind. I'll attempt it tomorrow sir. lest I forget, I'm highly honoured to be on this list(btw why did you consider me a potential solution provider to this QR? ). thank you sir

Wow, this one is tough. I had to peek at the solution provided above ^^ to understand what to do and so in honesty I cannot submit anything as my own.

Discarded

There are 2 unit cost prices of the tin of milk….
Let the market’s unit cost price = Cu and Taye’s unit cost price = Ct.
Relationship btw the 2

5Ct = 4Cu (500% of Cu = Taye’s cost price for 4 tins)
Cu = 1.25Ct and Ct = 0.8Cu
Normal Selling Price = Ct + Normal Profit = Ct + 5%(4Ct) = 1.2Ct
Normal Unit Profit = 0.2Ct
Greedy Selling Price = 140% of Normal Selling Price (re: markup = 40%)
Greedy Selling Price = 140% of 1.2Ct = 1.68Ct
New Unit Profit = 0.68Ct
The buyer’s money = 1250% of Ct = 12.5 Ct
The buyer’s change = 12.5Ct - 4(1.68Ct) = 5.78Ct

Q1. 0.68/ 1.25= 54.4%(FOR MARKET UNIT COST PRICE) or,
0.68/1= 68%(FOR TAYE’S UNIT COST PRICE)

Q2. 4Ct/5.78Ct= 0.692 or 69.2%

Discarded

Discarded

CarlOzeki:

You have your fractions backwards. Taye's cost should be 1.25Cu not 0.8Cu. Quick check - since each tin is costing Taye more he'll have to pay more than Cu. The cost to Taye is more than the normal unit cost price so Ct > Cu. So Ct can't be 0.8Cu

Bro, I ve thought it over b4 posting it that way. I'm still kinda confused by the way. The whole transaction doesn't make sense.

Look at it this way.....
Lets say market unit price =#10
500% of #10= #50.

Taye can't buy 4 tins that has its unit price as #10 for a whole #50, making it #12.5 per tin ...
The idea is that since he is buying at a wholesale, the price should be cheaper not higher. ..

(Paranorman pls take note)

@CarlOzeki
If I did it that way.
Q1 would be 85%( and that i think should be ur Q1 answer too)
I ll point out the mistakes in ur workings

Discarded

paranorman: Oya laff:

That awkward silence when Abraham and isaac were walking home after he tried to sacrifice him...Abraham: I love u son , Isaac: If I hear!!!"

Lmao!!!!

Make I complete am 4 u


"That awkward silence when Abraham and isaac were walking home after he tried to sacrifice him...
Abraham: I love u son
Isaac: If I hear, na so U 4 waste me if that lamb no show,Paale abeg park one side!!!"

This is for really smart peeps..

priscaoge:
Lmao!!!!

Make I complete am 4 u


"That awkward silence when Abraham and isaac were walking home after he tried to sacrifice him...
Abraham: I love u son
Isaac: If I hear, na so U 4 waste me if that lamb no show,Paale abeg park one side!!!"

funy girl..

Tinkybabe: You must be a business man paranorman

primary cost price of 1 milk tin = m
secondary cost of 4 milk tins =(500%)m =5m
" " " " " " " " 1 milk tin =5m/4 =1.25m

Price of one milk at stipulated rate = r
profit from total sale =(5/100)5m =0.25m profit
therefore 4r= (5+0.25)m = 5.25m
r= 5.25m/4 = 1.312m

Final selling price of each milk = [1.312m(40%) +1.312m] =1.837m
FSP of all 4 tins =4 x 1.837m = 7.35m

Customer gave 1250%(1.25m) = 15.625m


1) New unit profit = (1.837-1.25)m =0.587m
% profit in unit cost price = (0.587/1.25)100 = 47%

2)buyer's change =(15.625 -7.35)m = 8.275m
% fraction in total cost price= (8.275/5)100 =165.5%


Panoraman it seems you have a knack for giving unclear questions..
Is the cost price referring to Taye's cost price?
Is the selling price,the price it was sold to Taye or the stipulated selling price?

**confused**

you know you problem, you too know book! You just thinkin too much...
Taye doesnt have control over cost price. Cost price is always the cost of purchasin all 4 goods or the cost of a unit of the commodity. While the sellin price will always be the amount he sells the goods to a customer. You are thinkin too much dear.

Lets make this really simple right? So 'mma 'quantify' the variables.
Let unit cost price of a tin of milk be N8.
C.p=N8
total cost of 4 tins= 4*8= 500% of c.p=N40
average profit on 4 tins= 5% of 40= N2
Let unit profit,i.e, profit on each tin of milk had Taye stuck to the stipulated price by law= s.p-c.p=x.

By law, each tin of milk should be sold for the same price by Taye. Consequentially, this results to, average proft= unit profit
hence, unit s.p=unit c.p+unit profit=2+8=10.

Unit Mark-up price= 140% * 10= N14
total markup price= 14*4= N56.

Buyer's total = 1250% of unit c.p= 1250/100*8= N100.
Change returned= 100-56= 44.

New unit profit = 14-8= 6

1. New unit profit is 6/8*100= 75% of unit c.p

2.fraction of the buyers change is 40/44= 10/11.


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