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A bank makes a loss of $1,000,000$ in $2016$. In $2017$ it makes a profit of $1,000,000.$ Is it possible to calculate the increase in percentage profit from $2016$ to $2017$

Harsh Kumar
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2 Answers2

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We need capital of bank in $2016$ to find profit percentage. For example -

Case $1 -$ Suppose capital in 2016 is 4,000,000.

Profit $= 1,000,000$

Profit percentage $= 25\%$

Case $2 -$ Suppose capital in $2016$ is $5,000,000.$

Profit $= 1,000,000$

Profit percentage $= 20\%$

Harsh Kumar
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The 1,000,000 gain in 2017 cancels the 1,000,000 loss in 2016, putting the total amount of money in the bank back to where it started. So the percent increase in profit is zero.

PMar
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  • Not really..there is actual profit in 2017. However it is not possible to calculate increase in profit as there was no profit in the previous year... – user433188 Apr 06 '17 at 17:07