Civil Service Numerical Reasoning Test Profit, Loss and Financial Calculations 4

Question 1

A shop sells an item for £180 which was bought for £120. What is the percentage mark-up?

Accepted Answer

50%

Answer

Profit = £60. Mark-up on cost = (60 ÷ 120) × 100 = 50%.

Question 2

An employee's tax bill is 20% on income above £12,570. Their income is £28,570. How much tax do they pay?

Accepted Answer

£3,200

Answer

Taxable income = £28,570 − £12,570 = £16,000. Tax = 20% of £16,000 = £3,200.

Question 3

A project had a budget of £200,000. Actual costs were £185,000. By what percentage was it under budget?

Accepted Answer

7.5%

Answer

Saving = £15,000. (15,000 ÷ 200,000) × 100 = 7.5%.

Question 4

A business earns £2,400 per day. How much does it earn in a 5-day working week?

Accepted Answer

£12,000

Answer

£2,400 × 5 = £12,000.

Question 5

After a 20% loss, an asset is worth £64,000. What was its original value?

Accepted Answer

£80,000

Answer

£64,000 = 80% of original. Original = £64,000 ÷ 0.80 = £80,000.

Civil Service Numerical Reasoning Practice Test