Suppose of you have purchased 500 pieces of pants for Rs 800 per piece . You would then sell the pants to a store for Rs 1000 per piece, Rs 1500 is incurred as a transportation cost. Calculate ROI.

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 No. of pants=500

the cost price of 1 pant= Rs 800

The cost price of 500 pants = Rs 800*500 = 400000

Transportation cost = Rs 1500

Total investment = CP + Transportation cost

                           = 400000 + 1500 = Rs 401500

S.P of 1 pant = Rs 1000

S.P of 500 pant = Rs 1000*500 = Rs 500000

Profit = S.P - Total investment

            = 500000 - 401500 = Rs 98500

Now,

ROI =( Profit/Total investment ) *100%

        = (98500/401500)*100%

       = 24.53%

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