🛍️ Class 7 · Commercial maths

Profit and Loss for Class 7: notes, worked examples and practice

Every shopkeeper works with cost price and selling price. Profit and loss maths shows whether a sale made money, and by how much compared with what it cost.

Updated 21 October 2026. Every worked example and answer on this page is checked by automated tests.

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Notes

Profit and Loss: what you need to know

Chapter names and order differ by board and textbook edition, so follow your own textbook for the order.

Cost price and selling price

The cost price (CP) is what the seller paid. The selling price (SP) is what the seller received.

Profit and loss

If SP is more than CP, the difference is the profit. If SP is less than CP, the difference is the loss.

Percentages are on the cost price

Profit % = (profit ÷ CP) × 100 and Loss % = (loss ÷ CP) × 100. The base is always the cost price.

Finding SP or CP

SP = CP × (100 + profit%) ÷ 100 for a profit and CP × (100 − loss%) ÷ 100 for a loss. Reverse these to find CP from SP.

Marked price and discount

The marked price (MP) is the price on the label. A discount is taken off MP. SP = MP × (1 − discount/100).

Formulas and rules to remember

Profit = SP − CP
Loss = CP − SP
Profit % = (Profit ÷ CP) × 100
SP = CP × (100 + P%) ÷ 100

Solved examples

Example 1

An article costs ₹500 and is sold for ₹600. Find the profit percent.

Profit = 600 − 500 = 100.
Profit % = 100 ÷ 500 × 100 = 20.

Answer: 20%

Example 2

A bag bought for ₹1,200 is sold at a 15% loss. Find the selling price.

SP = 1200 × (100 − 15) ÷ 100
= 1200 × 0.85 = 1020.

Answer: ₹1,020

Example 3

A watch is sold for ₹1,320 at a profit of 10%. Find the cost price.

SP = CP × 110 ÷ 100.
CP = 1320 × 100 ÷ 110 = 1200.

Answer: ₹1,200

Example 4

A table has a marked price of ₹2,000. A 25% discount is given. What is the selling price?

Discount = 25% of 2000 = 500.
SP = 2000 − 500 = ₹1,500.

Answer: ₹1,500

Avoid these

Common mistakes

Taking profit percent on the selling price

The base is always the cost price: profit % = profit ÷ CP × 100.

Confusing marked price with cost price

A discount is taken off the marked price, which can be higher than the cost price.

Adding the profit percent to the wrong number

To get SP from CP multiply by (100 + P%) ÷ 100.

10 practice questions with answers

Try each question on paper first, then tap it to check your answer. The questions are generated by code and each answer is checked.

A shopkeeper buys a bag for ₹1,120 and sells it for ₹1,064. His loss percent is
Answer: 5
A shopkeeper buys a bag for ₹780 and sells it for ₹702. His loss percent is
Answer: 10
An article bought for ₹1,060 is sold at a profit of 10%. Its selling price (in ₹) is
Answer: 1166
A shopkeeper buys a bag for ₹1,200 and sells it for ₹600. His loss percent is
Answer: 50
By selling a watch for ₹1,534, a seller makes a profit of 30%. The cost price (in ₹) is
Answer: 1180
A trader buys a table for ₹80 and sells it for ₹84. His profit percent is
Answer: 5
A trader buys a table for ₹140 and sells it for ₹154. His profit percent is
Answer: 10
A shopkeeper buys a bag for ₹480 and sells it for ₹456. His loss percent is
Answer: 5
A shopkeeper buys a bag for ₹800 and sells it for ₹480. His loss percent is
Answer: 40
A shopkeeper buys a bag for ₹820 and sells it for ₹615. His loss percent is
Answer: 25

More practice

Printable worksheets (PDF with answers)

Percentage of a number (Grade 5)

Games and lessons

Maths dictionary

What is a percentage?

FAQ

Profit and Loss Class 7: questions students ask

How do I calculate profit percentage?

Divide the profit by the cost price and multiply by 100.

What is the difference between cost price and marked price?

The cost price is what the seller paid. The marked price is the printed price before any discount.

How do I find the cost price from the selling price and profit percent?

CP = SP × 100 ÷ (100 + profit%).

Is the percentage on cost price or selling price?

In school maths it is on the cost price unless the question says otherwise.

Which board is this profit and loss page for?

It covers the ideas taught in CBSE, ICSE and state-board maths. Chapter names and order differ by board and textbook edition, so follow your own textbook for the exact order.

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