### Theory:

Formula:

$$\text{Discount}$$ $$=$$ $$\text{M.P.}$$ $$-$$ $$\text{S.P.}$$

$$\text{S.P.}$$ $$=$$ $$\text{M.P.}$$ $$-$$ $$\text{Discount}$$

1. C.P. $$=$$ $$Rs.1300$$

M.P. $$= Rs.1400$$

Discount (in $$Rs.$$) $$= Rs.40$$

Find S.P. and profit or loss.

$$\text{S.P.}$$ $$=$$ $$\text{M.P.}$$ $$-$$ $$\text{Discount}$$

$$= 1400 - 40$$

$$= Rs.1360$$

In this case, S.P. $$>$$ C.P.

Therefore, there is a profit.

$$\text{Profit}$$ $$=$$ $$\text{S.P.}$$ $$-$$ $$\text{C.P.}$$

$$= 1360 - 1300$$

$$= Rs.60$$

2. C.P.$$=$$ $$Rs.1200$$

M.P.$$= Rs.1250$$

Discount (in $$Rs.$$) $$= Rs.100$$

Find S.P. and profit or loss.

$$\text{S.P.}$$ $$=$$ $$\text{M.P.}$$ $$-$$ $$\text{Discount}$$

$$= 1250 - 100$$

$$= Rs.1150$$

In this case, C.P. $$>$$ S.P.

Therefore, there is a loss.

$$\text{Loss}$$ $$=$$ $$\text{C.P.}$$ $$-$$ $$\text{S.P.}$$

$$= 1200 - 1150$$

$$= Rs.50$$