UGC NET Questions (Paper – 1)

In commercial mathematics, if the selling price (SP) of an item is greater than its cost price (CP), the trader gains money on the transaction. This gain is called profit and is calculated as SP − CP. Profit indicates that the trader has sold the item for more than it cost to acquire. Therefore, the situation described in the question corresponds exactly to making a profit.

Option A:
Loss occurs when the cost price exceeds the selling price, meaning the trader receives less money than was spent on purchasing the item. This is the opposite situation to what is described in the question, where selling price is higher than cost price. Hence, loss cannot be the correct answer here.

Option B:
Profit is correct because it is the name given to the positive difference SP − CP when SP > CP. For example, if an article costs ₹500 and is sold for ₹600, the trader makes a profit of ₹100. Recognising this condition quickly is useful in many UGC NET aptitude problems involving multiple stages of buying and selling.

Option C:
A discount is a reduction given on the marked price of an item, usually to attract customers, and is calculated before determining the final selling price. While discounts can affect profit, the term itself does not directly describe the situation SP > CP. Therefore, discount does not match the definition in the stem.

Option D:
Commission is a fee or percentage of sales paid to an agent or salesperson for services rendered. It is not the difference between selling price and cost price. Since the question focuses on the trader's gain from SP exceeding CP, commission is not the appropriate term.

This option is correct because the percentage increase is calculated as (increase ÷ original value) × 100. The increase is 120 − 100 = 20. So, (20 ÷ 100) × 100 = 20%. Therefore, the price has increased by 20%.

Option A:
The increase of ₹20 over an original price of ₹100 represents 20% of the original. This is obtained directly from the formula and matches intuitive understanding. Hence, 20% is the correct percentage increase.

Option B:
A 10% increase on ₹100 would be ₹10, giving a final price of ₹110. The actual new price is ₹120, so 10% underestimates the change. Therefore, this option is wrong.

Option C:
A 15% increase would add ₹15, resulting in a price of ₹115. This still does not reach the actual new price of ₹120. Thus, 15% is not the correct percentage increase.

Option D:
A 25% increase on ₹100 would be ₹25, leading to a price of ₹125. This overshoots the given new price, so 25% is too high. Hence, this option is incorrect.

Statement A correctly defines profit when the selling price is higher than the cost price. Statement C is also correct, as profit percent in standard questions is taken on cost price unless the question says otherwise. Statement D is a direct application: 20% of 100 is 20, so the selling price becomes 120. Statement B is false because discount is subtracted from the marked price, not added, and E is false since loss happens when cost price exceeds selling price. Therefore, A, C and D only are correct, as in option D.

Option A:
Option A is incomplete because it omits D, which concretely applies the profit percentage idea, and so does not give a full set of correct statements for exam-oriented understanding.

Option B:
Option B is wrong because it adds E, which reverses the condition for loss, and therefore contains at least one false statement. Even though A and C are true, the presence of E invalidates the combination.

Option C:
Option C is incorrect since it contains only C and D and omits A, leaving out the basic definition of profit that anchors the other statements and making the set of correct facts incomplete.

Option D:
Option D is correct because it collects the conceptual definition of profit, the rule for profit percentage and a worked numerical illustration, while excluding the wrong descriptions of discount and loss conditions.

Profit is the difference between selling price and cost price. Here, the profit equals ₹920 − ₹800 = ₹120. The profit percentage is calculated on cost price, so it is (profit ÷ cost price) × 100 = (120 ÷ 800) × 100. This simplifies to (12 ÷ 80) × 100 = 0.15 × 100 = 15%. Therefore, the profit made is 15% of the cost price.

Option A:
Option A reflects the correct application of the profit percentage formula, using cost price as the base. The computation carefully converts the absolute profit into a relative percentage, yielding 15%, which accurately quantifies the gain.

Option B:
Option B, 12%, may result from mistakenly using the profit amount directly without proper division by the cost price. It underestimates the true rate of return on the investment.

Option C:
Option C, 10%, is even smaller and could emerge from misreading the difference or misplacing zeros, but does not match the actual ratio of 120 to 800.

Option D:
Option D, 18%, overstates the profit rate and cannot be derived from the given selling and cost prices using the standard formula.

Statements A, B and C are all correct descriptions of standard percentage and profit–loss ideas. Percentages convert quantities to a base of 100, profit percent is typically calculated on cost price, and a discount, when given, lowers the marked price. Statement D is false because an x% increase followed by an x% decrease leads to an overall decrease, not a return to the original value, and E is false since percentage questions are very common in mathematical aptitude sections of UGC NET. Therefore the combination containing A, B and C only is correct.

Option A:
Option A is incomplete because it omits C, even though the understanding that discounts reduce marked price is crucial for many profit–loss and discount problems. Without C, the description of applied percentage use is partial.

Option B:
Option B is correct since it collects all the true statements and excludes D and E, which give misleading information about successive percentage changes and exam pattern. It accurately reflects how percentages operate in typical NET aptitude questions.

Option C:
Option C is wrong because it adds D to the set, asserting that equal increase and decrease cancel out exactly, which is mathematically incorrect. Including D makes the overall combination invalid.

Option D:
Option D is also incorrect because it includes E, which wrongly denies the presence of percentage-based aptitude questions in UGC NET, and omits A, thereby leaving out the foundational definition of percentage.