Profit & Loss is an important topic in Arithmetic that comes under CAT Quantitative Aptitude. The questions asked from this section are of moderate level of difficulty. If you are clear about percentage calculations, then P&C questions will not prove to be difficult. CAT Profit and Loss Questions include CP, SP, and MP. The questions appear in percentage and the trick lies in understanding what lies behind those statements.
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CAT profit and loss questions revolve around deals comparison, error-based calculation, shortcut calculations and questions related to business. In order to solve P&C questions of CAT 2026, you should focus on markup percentage, discount percentage, increase of OP before selling, successive discount, multiple level selling chain or discount, cost price vs selling price. Shiksha has compiled in this article, some CAT Profit and Loss questions with solutions PDFs for CAT 2026 preparation.
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Sample CAT Profit and Loss Questions with Answers
1.A dealer allows a discount of 10% to his customers and still earns a profit of 26%. Find the cost price (in Rs.) to him of an article marked at Rs. 560.
(a) 356
(b) 400
(c) 504
(d) 432
2. In what proportion must a chemist mix two solutions of a certain chemical, which cost him Rs 18 and Rs. 27 a gallon respectively, so that by selling the mixture at Rs 30 a gallon, he may gain 25% on his outlay?
(a) 2:3
(b) 2:1
(c) 1:2
(d) 3:2
3. Akash buys candies at 20 candies for Rs. 100 and sells it at a loss of as much money as Akash paid for five candies. Find the SP per candies?
(a) Rs. 4
(b) Rs. 3.5
(c) Rs. 3.75
(d) Rs. 4.5
4. Vansh and Amrit started a business together where Vansh was the active member and Amrit was just an investor or passive partner. Vansh invested Rs. 10 lacs in the business while Amrit, who joined the business 3 months later, invested Rs. 20 lacs. As Vansh was the active member, he also drew a salary of Rs. 25000 every month. At the end of the year, they made Rs. 10 lac as profit. Find the ratio of Vansh's share to that of Amrit. (Note: Profits are distributed after the salary is taken into account)
(a) 21 : 29
(b) 29 : 21
(c) 19 : 6
(d) 12:16
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CAT Profit and Loss Topic Breakdown
When preparing for the CAT Profit and Loss topic of CAT, aspirants must ensure they have complete clarity of the following concepts:
- Cost Price: The actual price at which an item is purchased/or expense incurred
- Selling Price: The price at which an item is actually sold
- Marked Price: The price at which an item is marked for sale
- Gain: The difference between selling price and cost price wherein, selling price is higher
- Loss: The difference between cost price and selling price wherein, cost price is higher
- Discount: Rebate offered on product listed for sale
CAT Profit and Loss Weightage & Past Year Trends (CAT 2020 - 2025)
Check the below table for the number of questions asked in the last few years of this topic.
| CAT Exam Year |
Number of P&L Questions |
|---|---|
| CAT 2020 |
2 |
| CAT 2021 |
3 |
| CAT 2022 |
4 |
| CAT 2023 |
3 |
| CAT 2024 |
2-4 |
| CAT 2025 |
2 |
Important CAT Profit and Loss Formulas
Here are some of the fundamental yet most important CAT Profit and Loss Fornulae:
Profit: SP - CP (when Selling Price > Cost Price)
Loss: CP - SP (when Cost Price > Selling Price)
Profit %: (Profit / CP) × 100
Loss %: (Loss / CP) × 100
*For advance level CAT Profit and Loss Fornulae check the downloadable PDF shared above.
How to Prepare CAT Profit and Loss in 2026
There are three main tips for preparation for CAT Profit and Loss questions. Since the topic is on the easier side and the questions asked are mostly straightforward, you need to:
- Be thorough with the formulae
- Practice a good number of sample questions
- Learn successive percentage changes, and practice false weight questions.
*Refer the downloadable PDF given above for detailed assistance.
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CAT Profit and Loss FAQs
Check here Frequently Asked Questions on CAT Profit and Loss:
Profit and Loss is one the main topics of CAT Arithmetic, which dominates the question paper every year. About 2-4 questions are asked from Profit and Loss every slot of CAT exam.
CAT quantitative aptitude section has 22 question and maximum questions are asked from Arithmetic. About 2-4 questions are asked from Profit and Loss and if you crack them correctly, 6 to 8 marks are assured. This can make a huge difference in your overall Quant score.
For cracking CAT Profit and Loss question, refer to Class 9 and 10 NCERT Math books for fundamentals. For advance level questions, refer books recommended for CAT quantitative aptitude preparation.
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