In a certain store, the profit is 320% of the cost. If the cost increases by 25% and the selling price remains constant, approximately what percentage of the selling price is the profit?

Explanation

Let the cost be ₹100. Profit = 320% of cost = ₹320, so the selling price = ₹420. New cost = ₹125, and new profit = ₹420 - ₹125 = ₹295.

(295/420) × 100 ≈ 70.24%

So the profit is approximately 70% of the selling price.