Instructions

Study the given bar graph and answer the questions that follows.

Profit percent = $$\frac{Income - Expenditure}{Expenditure} \times 100$$

Question 74

If the incomes of company B in 2016 and 2020 were equal and the expenditure in 2016
was ₹240 crores, then what was the expenditure (in ₹ crores) in 2020?

Solution

It is given in the question that Profit percent = $$\frac{Income - Expenditure}{Expenditure} \times 100$$.

That means profit is calculated as a percent of expenditure.

Income = Expenditure + $$\frac{profit percent * Expenditure}{100}$$

The question shows that the expenditure for company B in 2016 was ₹240 cr.

From the graph, the profit percent for company B in 2016 is 45.

Income for company B in 2016 = expenditure +  $$\frac{profit percent * Expenditure}{100}$$ = 240+ $$\frac{45 * 240}{100}$$ = ₹348 cr.

The income for company B in 2020 is also equal to ₹348 cr.

From the graph, the profit percent for company B in 2020 is 60.

Let's assume the expenditure of company B in 2020 is e. 

Income for company B in 2020 = expenditure + $$\frac{profit percent * Expenditure}$${100} 

348 = e+$$\frac{60 * e}{100}$$ = 1.6e

e = $$\frac{348}{1.6}$$ = 217.5


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