Study Material — 2 PYQs (2020–2020) · Concept Notes · Shortcuts
SSC MTS Successive Profit & Loss is a frequently tested subtopic — 2 previous year questions from 2020–2020 papers are included below with concept notes, key rules and shortcut tricks.
SSC MTS Successive Profit & Loss — Past Exam Questions
2 questions from actual SSC MTS papers · all shown free · click option to reveal solution
Exam Q 12020Previous Year Pattern
A shopkeeper buys an item for ₹500. He marks it up by 20% and then offers a discount of 10% on the marked price. What is his overall profit percentage?
Exam Q 22020Previous Year Pattern
A merchant sells an article at a loss of 15%. If he had sold it for ₹80 more, he would have made a profit of 5%. What is the cost price of the article?
Concept Notes
Successive Profit & Loss— Rules & Concept
Core ConceptRead this first — the foundation of the topic
Core Concept
When profits and losses are applied one after another, we cannot simply add or subtract the percentages. Each percentage change acts on the new value, not the original price
Key Rules
If successive changes of a% and b% occur, the net effect formula is: Net% = a + b + (ab)/100. Use positive values for profit and negative values for loss. For three successive changes a%, b%, c%, first find net effect of any two, then apply the third change.
Formula BlockMemorise — at least one formula appears in every paper
• Overall profit/loss = Net% of original cost price
Exam PatternsWhat examiners ask — read before attempting PYQs
Questions typically involve 2-3 successive transactions. Common scenarios include buying-selling chains, discount followed by profit, or multiple markups. SSC often asks for overall profit/loss percentage or final selling price.
ShortcutsUse these to save 30–60 seconds per question
For quick calculation, convert percentages to multipliers. 20% profit = 1.2, 10% loss = 0.9. Multiply all factors: 1.2 × 0.9 = 1.08 = 8% overall profit.
Worked ExampleSolve this step-by-step before moving on
1
Step 1
Identify the changes
First transaction: +20% (profit)
Second transaction: -10% (loss)
2
Step 2
Apply the formula
Net% = a + b + (ab)/100
Net% = 20 + (-10) + (20 × (-10))/100
Net% = 20 - 10 - 200/100
Net% = 10 - 2 = 8%
3
Step 3
Verify using multiplier method
Final value = 1000 × 1.20 × 0.90 = 1000 × 1.08 = 1080
Profit = 1080 - 1000 = 80
Profit% = 80/1000 × 100 = 8%
Answer: 8% overall profit
Alternate Method using SP calculation:
After first sale: 1000 × 120/100 = 1200
After second sale: 1200 × 90/100 = 1080
Net profit = 1080 - 1000 = 80
Profit% = 8%
Exam TrapsCommon mistakes students make — avoid these
Students often add percentages directly (20% - 10% = 10%) ignoring the compounding effect. Always remember that each subsequent percentage works on the changed value, not the original price. The interaction term (ab)/100 is crucial and frequently overlooked.
Key Points to Remember
Successive changes cannot be added directly due to compounding effect
Formula for two changes: Net% = a + b + (ab)/100
Use positive values for profit, negative for loss in the formula
Multiplier method: Convert percentages to decimals and multiply
Each subsequent change acts on the new value, not original price
Interaction term (ab)/100 is often the key to correct answers
Three changes: Find net of first two, then apply third change
Final amount = Original × (100+a)/100 × (100+b)/100
Exam-Specific Tips
Net percentage formula for successive changes: a + b + (ab)/100
20% profit converts to multiplier 1.2, 25% loss converts to 0.75
For equal successive profits of x%, net effect is x + x + x²/100
Two successive discounts of 10% each give net discount of 19%
Successive changes of +50% and -20% result in +20% net change
Three successive profits of 10% each give net profit of 33.1%
Formula remains same whether dealing with CP, SP, or marked price
Practice MCQs
Successive Profit & Loss — Practice Questions
13graded MCQs · easy to hard · full solution & trap analysis
A trader buys goods for ₹1000 and marks them at 50% above cost price. He then gives two successive discounts of 10% and 20%. What is his net profit or loss percentage?
Practice 2easy
A vendor buys oranges at ₹10 per dozen and sells them at ₹15 per dozen. He then reduces the price by 20% due to overstock. What is his profit or loss percentage on the reduced price?
Practice 3easy
An article is sold at a profit of 25%. If both the cost price and selling price are increased by ₹100, the profit percentage becomes 20%. What is the original cost price?
Practice 4easy
A shopkeeper offers successive discounts of 15% and 10% on an article marked at ₹2000. What is the final selling price?
Practice 5medium
A shopkeeper buys an article at ₹500. He marks it up by 40% and then gives a discount of 10% on the marked price. Later, he sells the remaining stock at a further discount of 20% on the already discounted price. What is his overall profit or loss percentage on the final transaction?
Practice 6medium
A retailer buys a product at ₹500 per unit. He marks it up by 60% and offers a discount of 25% during a sale. Later, he buys the same product at ₹450 per unit and sells it at a 30% markup. If he sells 40 units from the first batch and 60 units from the second batch, what is his total profit?
Practice 7medium
A trader bought goods for ₹8000. He sold 60% of the goods at a 20% profit and the remaining 40% at a 10% loss. What is his overall profit or loss percentage?
Practice 8medium
A shopkeeper marks up an article by 50% above cost price. He then offers a discount of 30% on the marked price. If the cost price is ₹400, what is the selling price and the profit or loss percentage?
Practice 9hard
A shopkeeper buys an item at ₹500. He marks it up by 40%, then offers a discount of 10% on the marked price. Later, he realizes demand is low, so he offers an additional discount of 20% on the already-discounted price. What is his overall profit or loss percentage?
Practice 10hard
A merchant sells an item at a profit of 25%. If he had bought it at 20% less and sold it at 10% less, his profit would have been ₹60 more. What is the cost price of the item?
Practice 11hard
A trader buys goods at ₹2000. He sells 60% of the goods at a profit of 30% and the remaining 40% at a loss of 15%. What is his overall profit or loss percentage?
Practice 12hard
A shopkeeper marks an item 80% above cost price. He gives two successive discounts of 25% and 20%. If the final selling price is ₹432, what is the cost price?
Practice 13hard
A wholesaler sells goods to a retailer at a profit of 20%. The retailer sells to a customer at a profit of 25%. If the customer pays ₹3000, what is the wholesaler's cost price?
60-Second Revision — Successive Profit & Loss
Remember: Net% = a + b + (ab)/100 for two successive changes
Trick: Use multipliers for faster calculation - multiply all factors
Formula: SP = CP × (100+a)/100 × (100+b)/100
Trap: Never add successive percentages directly
Method: For three changes, find net of any two first, then apply third
Quick check: Positive result means profit, negative means loss