Ramesh buys milk at ₹54 per litre, mixes water with it in the ratio milk : water = $4 : 1$ , and sells the mixture at 10% above ₹54 per litre. What is his profit percentage?

10%Correct answerYour answer30%Correct answerYour answer35%Correct answerYour answer37.5%Correct answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer D

Correct answer: D

Cost of 5 litres of mixture = cost of 4 litres of milk = $4 \times 54 = 216$ rupees, so ₹43.20 per litre.
Selling price = $1.1 \times 54 = 59.40$ rupees per litre.
Profit % = $\frac{59.40 - 43.20}{43.20} \times 100 = \frac{16.20}{43.20} \times 100 = 37.5\%$ .

Worth noting

The gains multiply, they do not add: 1.25 (from the free water) × 1.1 (from the higher price) = 1.375. Adding $25\% + 10\%$ gives the tempting 35%, and 30% adds 10% to the 20% share of water in the mixture.

Concept: Profit from mixing a free ingredient, combined with a price mark-up
Typical timeTypical: 80 s
Your timeYours: —

The rule this testsThe alligation rule

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Ten questions from Mixtures & Alligation, at your own pace.

Ramesh buys milk at ₹54 per litre, mixes water with it in the ratio milk : water = 4:14 : 14:1, and sells the mixture at 10% above ₹54 per litre. What is his profit percentage?

Explanation

Ramesh buys milk at ₹54 per litre, mixes water with it in the ratio milk : water = $4 : 1$ , and sells the mixture at 10% above ₹54 per litre. What is his profit percentage?