6

Terms

• Buying -  is to acquire or obtain goods/ property for a price.
• Selling - is handing over goods or an item in  exchange for money.
• Buying price (BP) - is the price at which a trader buys an item.
• Selling price - is the price at which a tradwer sells an item.
• Loss - occurs when atrader sells an item at a price lower thanthe price at which he/she bought the item.
• It also means the shortage amount incurred on buying price  

Example 1

1.Ochola bought a cow at sh. 25,000 and sold it later at sh. 23000.  

How much was the loss?

Solution

Loss = buying price(Bp) - selling price(Sp)
           Bp = sh.25000
           Sp = sh.23000
           25000 - 23000
           = sh.2000

Example 2

2.Ole maasai bought two goats for sh.8000. He sold them later at sh.3800 each. How much was the loss?

Sh.3800

Sh.3800

Solution:

Loss = Bp- Sp
Bp = sh.8000
Sp = 2 goats x sh. 3800
        Sh. 7600
therefore the loss will be
Sh. 8000-7600 = sh. 400

Questions

1.Mary bought a bag at sh. 1800 and sold it later to Risper at sh.1500. How much was the loss?

Sh.1800

2.Wanyama bought ten trays of eggs at sh .220 each. He later sold each tray at sh.180.How much was the loss?

Each tray = sh.220

3.karanja  a coat at a loss of sh.50 after selling a coat for sh.450. How much was the buying price?

 Bp= sh. ?

Sp= sh.450

4.Towet bought a bull for  sh.35'000  but after a long, drought he sold it for sh. 28,000. How much money did he lose?

Bp = sh. 35,000

Sp= sh. 28,000

5.Anyango sold a crate of tomatoes for sh. 1200 and got a loss of sh. 140. At what price did she buy the tomatoes ?

Sp= sh. 1200

Answers

1. sh.300
2. sh.400
3. sh. 500
4. Sh.7,000
5. Sh.1,340