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CAT 2025 Exam - Profit & Loss Questions With Solutions, LR & DI | Day 9
Edited By Irshad Anwar | Updated on Apr 03, 2025 10:37 AM IST | #CAT
The Common Admission Test (CAT) is a very competitive test for admission to top management institutes such as the IIMs. To assist aspirants in making their preparation stronger, we present to you a systematic 60-day series on key topics. On Day 9, we will deal with Profit & Loss questions, an important section of Quantitative Aptitude, and Logical Reasoning & Data Interpretation (LR & DI).
This article gives a combination of concepts, solved examples, and problem-solving techniques to enable you to excel in these sections. There are a range of profit and loss problems with step-by-step solutions, along with LR & DI practice sets to enhance speed and accuracy. By going through this article, you will have improved conceptual understanding and confidence in solving these questions under the time limit of the CAT 2025 exam.
Part-1: Quantitative Aptitude for CAT 2025 Topic: Profit and Loss
Today, we are here with the extended part of the percentage, i.e., Profit and Loss. The Percentage is the basic building block of Arithmetic. Profit and Loss CAT questions are one of the most important topics for the CAT Exam. To solve the CAT Profit and Loss questions, you must first understand the basics of Profit and Loss. We can understand the basics well with the help of the profit triangle, as shown below:
The price at which we purchase something is the "cost price" (CP).
The price that we mark or print on the article is the marked price (MP).
The price at which we sell something is its selling price (SP).
Marked Up % = (MP-CP) x100/CP
Discount % = (MP-SP) x100/MP
Profit % = (SP-CP) x100/CP
CAT 2025: VARC, DILR, and Quant MCQs & Weightages
Comprehensive CAT prep guide with focused practice on Verbal Ability, Data Interpretation & Logical Reasoning, and Quantitative Aptitude.
Download NowIf SP is less than CP, then profit is loss.
CAT Profit And ’Profit and Loss Type:
Questions involve direct calculation to find profit%, Discount% or Markup%.
Questions in which values are given in terms of profit%, Discount% or Markup%.
Any two of these are given, and the third one is asked.
Questions on successive discounts.
Questions on actual weight and faulty weights.
Questions based on adulteration.
Questions based on basic formulas only, and many more.
You have to prepare each type of Arithmetic question separately for a better understanding of the concept.
CAT Quant Questions With Solutions / Profit and Loss CAT previous year questions
The two previous year CAT questions on Profit and Loss are given below for a better understanding. The arithmetic section caries one of the greatest weightage in CAT arithmetic questions:
Q1. If a seller gives a discount of 15% on the retail price, she still makes a profit of 2%. Which of the following ensures that she makes a profit of 20%?[CAT Question Paper 2017 Slot 1]
Give a discount of 5% on the retail price
Give a discount of 2% on the retail price.
Increase the retail price by 2%.
Sell at retail price
Ans: D
15 % discount means If MP = 100; SP = 85
2 % profit means If CP = 100; SP = 102
In both SP should be same, so make them equal and we get
SP= 510, CP= 500 and MP = 600.
For 20% profit SP =600 which is equal to MP (Retail Price).
CAT Arithmetic Questions:
Q2. On selling a pen at 5% loss and a book at 15% gain, Karim gains Rs. 7. If he sells the pen at 5% gain and the book at 10% gain, he gains Rs. 13. What is the cost price of the book in Rupees? [CAT Question Paper 2019, Slot 1]
85
95
80
100
Ans: (3)
Let CP of pen = 100x; CP of book = 100y
Case 1
-5x + 15y = 7
Case 2
5x + 10y = 13
On solving both equations y = 4/5
CP of a book = 100x(4/5) = Rs 80
Prerequisite Before Practising CAT Profit and Loss Questions :
To prepare this topic for the CAT exam, students must have knowledge of
Fractions
Approximation
Tips to Prepare for CAT exam Profit and Loss questions
Learning conversions from Application of Percentage to fractions is important for this topic also.
Practice questions based on Application of Percentage well.
You can use the following tricks to solve the particular type of question:
If two articles were sold at an equal price with a profit of a% on one article while a loss of a% on another. Then, there will always be a loss of $a^2$/100 %.
If n articles were purchased at equal prices and sold at different prices. Then, net profit % is the average of all profit %. Loss % will be treated as negative of profit %.
In the questions of true weight/ false weight, the Selling Price has always been calculated on the reading while the Cost price has always been calculated on actual weight. After that compare the final selling price and final cost price to find profit or loss percent.
In the questions of successive discounts, use the concept of the successive percentage change.
References to Study (Theory):
Arun Sharma: A Quantitative Approach for CAT (7th Edition, Pg No: 235 - 242)
2iim Online Learning Classroom
References to Practice CAT Arithmetic Questions:
Quantitative Aptitude book by Abhijit Guha.
CAT previous year papers
Part-2: Logical Reasoning and Data Interpretation: Topic: Data Interpretation (Miscellaneous)
Previously, we have discussed general types of data interpretation. In this article, we are going to discuss the miscellaneous types of data interpretations for the CAT exam, like
Multi-Layered Pie Chart
Double Bar Graphs
Logic Based DI (most common in recent years)
Combination of two or more types of graphs in a single DI
i.e. table with a pie chart, line graph with bar graph, etc.
Such graphs are used to represent more data on a single graph.
In the CAT Exam and other management entrance exams, data interpretation is a must-come topic.
Preparing DI involves three basic steps:
Understanding Charts and Graphs
Understanding the logic or concept (More required in multi-layered DI and Caselet DI)
Be good at calculations.
Questions Based On Data Interpretation From CAT Previous Year Papers Comprehension:
The multi-layered pie-chart below shows the sales of LED television sets for a big retail electronics outlet during 2016 and 2017. The outer layer shows the monthly sales during this period, with each label showing the month followed by the sales figure of that month. For some months, the sales figures are not given in the chart. The middle-layer shows quarter-wise aggregate sales figures (in some cases, aggregate quarter-wise sales numbers are not given next to the quarter). The innermost layer shows annual sales. It is known that the sales figures during the three months of the second quarter (April, May, June) of 2016 form an arithmetic progression, as do the three monthly sales figures in the fourth quarter (October, November, December) of that year. [CAT Question Paper 2018]
Q1. What is the percentage increase in sales in December 2017 as compared to the sales in December 2016?
22.22
38.46
50.00
28.57
Solution: (4)
Sales in December 2017 = (500 – 150 -170) = 180
Sales in Q4 of 2016 is in AP:
Sales in October 2016 = 100; Sales in November 2016 = 100 + x; Sales in December 2016 = 100 +2x;
So, 100 + 100 + x + 100 + 2x = 360
X = 20
Sales in December 2016 = 100 +2x20 = 140
Increase in sales in December 2017 as compared to december 2016 = 40x100/140 = 28.56%
Q2. In which quarter of 2017 was the percentage increase in sales from the same quarter of 2016 the highest?
Q1
Q3
Q2
Q4
Ans: (1)
2016 | 2017 | %age increase | |
Q1 | 240 | 380 | 140*100/240 = 58.33% |
Q2 | 150 | 200 | 33.33% |
Q3 | 250 | 220 | -12% |
Q4 | 360 (calculated in Question 1) | 500 | 46.66% |
Prerequisite:
To prepare for data interpretation for the CAT exam, a student must have an understanding of
Average, ratios and percentages at fingertips
Pie graph, table graph, and other forms of data interpretation
Venn diagram
Tips To Solve Di (Misc.) For CAT Preparation
Read the graphs carefully.
Interpret the data from each kind of graph separately and then use them.
Solve small calculations mentally.
Examine each question separately and solve the easy one first.
Practice questions that involve more than 2 graphs in a single DI.
Shortcuts in calculations using Vedic math
References To Study (Theory):
LRDI for CAT and GMAT by Nishit K Sinha.
‘CAtKing.in’ (YouTube Channel)
References To Study (Practice):
https://www.mockat.com/ (free Mock Test)
How to Prepare for Data Interpretation for CAT by Arun Sharma (8th Edition)
CAT previous year papers
Part-3: VARC Topic: Strategy To Improve Reading Skills
Reading- is a term with which everyone is familiar. Reading can have multiple senses.
For some, reading means reading a newspaper. For some other people, it can be reading technical books, reading novels, etc. To read in an effective way, one must improve one’s reading skills.
Why Reading Skills Are Important?
Reading is an essential and basic building block for learning.
In daily life, the need to read things such as street signs or prescriptions proves reading is also an important life skill.
To reduce stress.
To read a long passage of 1000- 1500 words in 2–3 minutes (less time) and deduce important information from it.
Reading skills help someone to distinguish between important and not much important information.
To build confidence.
How Do Reading Habits Help You?
In increasing your vocabulary
In lowering stress
It will enhance your imagination and help you to solve long passages and LRDI sections.
Suggestions To Improve Reading Skills:
The first step to improving your reading skills. The reading ability questions for CAT exam are to develop reading habits by reading any of the following:
Newspapers
Magazines
Novels from good writers
Fiction and Non-Fiction books
Read the book of your interest.
Read the articles of interest.
Once the reading habit is developed, half of the work is done. Now start to analyse the information.
Always get an idea of every passage. Try to find out the keywords.
Always underline the important words or the words that are new to you.
Learn the underlined words and try to find an alternate for these words.
Try to find the uses of idioms and phrases while reading a novel or a book.
Try to avoid non-useful information while reading.
Such practices will lead to improved reading skills.
Some Suggestions To Read
The Secret- by Rhonda Byrne
Everything happens for a reason: and other lies I`ve loved- by Kate Bowler
Tomorrow, we will return with a plan for Day 10. Put in the work and pay attention.
Thank You
All the best.
Frequently Asked Questions (FAQs)
1. When should I start preparing for CAT 2025?
Optimally, you should begin prepping at least 9-12 months beforehand the examination. There should be plenty of time during this period to establish solid foundations, practice mocks, and finalize your strategy.
2. Will CAT 2025 be tough?
CAT's unpredictable level of difficulty is known to everyone, but it also usually stays demanding with time limitation and stiff competition. With good preparation, firm concepts, and test-taking strategy, you are capable of mastering it effectively.
3. Can I prepare for the CAT in 9 months?
Yes, it is possible to prepare for CAT in 9 months. For effective preparation, follow our 60-day CAT preparation series in which we cover all the topics required for CAT.
4. Can I get 99 percentile in CAT in 3 months?
Getting 99 percentile in three months is achievable but needs rigorous preparation, daily mock tests, and clear conceptual understanding. Candidates with experience in aptitude tests or very good problem-solving skills have a higher chance.
5. Is 3 months enough for CAT?
Three months might be enough if you are already well-versed in Quant, Verbal, and Logical Reasoning. But beginners might find it difficult to go through the entire syllabus and take enough mock tests within a short period of 3 months.
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Questions related to CAT
Have a question related to CAT ?
Hi aspirant,
- In general, PUMBA (Pune University's Department of Management Sciences) requires a higher CAT percentile, usually between 94 and 96.
- Nevertheless, final selection is based on a comprehensive process that includes your CAT score (which usually carries 50% weightage), performance in the Group Discussion (GD) and Personal Interview (PI) rounds (30% weightage), academic record (10% weightage), and work experience (10% weightage).
- Even though your CAT score is strong, a strong performance in the subsequent selection rounds will be essential for admission.
- It is recommended to contact the institution directly for latest and up-to-date information.
You can refer to the link attached above for more information on the same.
All the best!
Rajeswari Dey 27 May,2025
Hi aspirant,
- Vadodara is an MHT CET exam center located outside of Maharashtra .
- This makes it easier for Gujarati applicants to take the exam.
- When completing your MHT CET application form, you will have the option of selecting your chosen exam centers , including those situated outside of Maharashtra.
You can refer to the link given above for more information on the same.
All the best!
Rajeswari Dey 25 May,2025
Hello dear,
The CAT exam requires a significant amount of time for preparation, including brushing up on basic concepts and practicing advanced problem-solving. Starting too early can feel overwhelming and may not be sustainable with other academic commitments.
The CAT exam requires a level of focus and maturity that is not always present in class 9. Starting preparation at this stage can be challenging to maintain. At class 9, you're primarily focused on learning foundational concepts. So you just need to boost your fundamentals by practicing more and more at class 9 because the Quantitative Aptitude section of CAT syllabus includes all the topics of Mathematics from Class 9 to 10 such as Arithmetic, Geometry, Algebra, Trigonometry and Mensuration.
Start Preparation 12 Months Prior:
- Begin your CAT preparation around 12 months before the exam date.
- Dedicate 5 to 6 hours daily for studying, focusing on smart work rather than just hard work.
Identify Weak Sections:
- Recognize your weak section at the start of your preparation.
- Allocate more time and attention to improving your weak areas while maintaining practice in all sections
I hope you got your answer, That's all Thank you.
Rajeswari 22 May,2025
IIFT CAT Cutoff 2024
IIFT Delhi
General: 95–98 percentile
OBC: 90+
SC: 85–95
ST/PwD: 75–93
IIFT Kolkata
General: 85–95 percentile
OBC/SC/ST: 50–95 (varies)
Note: Final selection also includes WAT, GD, PI, academics, and work experience.
harsh singh 21 May,2025
To prepare for CDS, CGL, and CAT during graduation, create a clear study schedule focusing on basics, reasoning, and aptitude. Practice daily mocks, improve time management, and stay consistent. Balance college and preparation with discipline and regular revision.
Sujal Singh 20 May,2025
Popular CAT Questions
Directions for question :
M/s Deloitte Touche Tohmatsu Limited, one of the top four audit and accounting firms in the world with headquarters at London, UK, and with an operational presence in 153 countries, hires Management Trainees (MT) from all the premier management institutes of India thrice every year, in the months of January, May and September.
Each new group of Management Trainees (MT) have to go through a four month rigorous training schedule, after which they have to pass through a test consisting of a written assessment and a case-analysis. The top hundred ranked Management Trainees (MT) based on the performance in the test are confirmed as Management Executives (ME). The rest are given the opportunity of undergoing the training for four months one more time along with the next batch of Management Trainees (MT) and then passing through the subsequent test consisting of the written assessment and case-analysis. The Management Trainee (MT) who fails to get confirmed as a Management Executive (ME) the second time is fired.
The scatter-graph below depicts the number of Management Trainees (MT) at Deloitte taking the tests from January 2020 till May 2022, and the vis-à-vis hired Management Trainees (MT) at Deloitte who were fired :
It is also known that for the month of September 2019 at Deloitte, 96 hired Management Trainees (MT) failed to be confirmed as a Management Executive (ME) the first time, and that 36 hired Management Trainees (MT) were fired.
Question :
In which test did the minimum number of Management Trainees (MT) get confirmed as a Management Executive (ME) in the second attempt ?
Option: 1
September 2020
Option: 2
May 2021
Option: 3
January 2021
Option: 4
January 2022
Directions for question:
The bar-graph given below shows the foreign exchange reserves of Nepal (in million Rupees) from 2014 to 2021. Answer the following questions based on the graph :
Question:
What was the percentage increase (rounded to the nearest integer, if deemed necessary) in the foreign exchange reserves in 2020 over 2016 ?
Option: 1 None
Option: 2 None
Option: 3 None
Option: 4 None
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