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Profit = Selling price - Cost

So in this case: Profit = $2.50 - $2

Profit = $.50

Percentage profit = (profit/selling price) x 100

So in this case: percentage profit = ($.50/$2.50) x 100

Percentage profit = (.2) x 100

Percentage profit = 20%

Improved Answer:-

It is: (2.50-2)/2 times 100 = 25% profit

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