Problem: A house and store were sold for $12,000 each. The house was sold at a loss of 20% of the cost, and the store at a gain of 20% of the cost. The entire transaction resulted in:
Answer Choices:
A. no loss or gain
B. loss of $1000
C. gain of $1000
D. gain of $2000
E. (none of these)
Solution:
12,000=H−51​H;∴H=15,000,12,000=S+51​S;
∴S=10,000,H+S=25,000
Therefore, the sale resulted in a loss of $1000.