A milkman has 20 liters of milk. If he mixes 5 liters of water, which is freely available, in 20 liters of pure milk. If the cost of pure milk is Rs. 18 per litre, then the profit of the milkman, when he sells all the mixture at cost price, the profit %?

• A. 22.5%
• B. 25%
• C. 33.33%
• D. 20%

Answer: (B)

As water costs free, water sold at cost price of milk gives the profit. Required profit % = 5/20 x 100 = 5 x 5 = 25%.