The profit made is the selling price minus the cost price.
Profit = Selling price - Cost price
Profit = #540,000 - #450,000
Profit = #90,000
To find the profit as a percentage of the cost price, we divide the profit by the cost price and then multiply by 100.
Profit percentage = (Profit / Cost price) x 100
Profit percentage = (#90,000 / #450,000) x 100
Profit percentage = 20%
Therefore, the profit as a percentage of the cost price is 20%