The following table shows the income and expenditure (in ₹ millions) of a…
2023
The following table shows the income and expenditure (in ₹ millions) of a certain Company during the five years from 2018 - 2022, along with profit % and loss % incurred in all these years. Some values are missing in the table (indicated by '-') that you are expected to calculate if required. Based on the data in the table, answer the questions that follow.
Year-wise Income, Expenditure and Profit/Loss of a Company
Year | Expenditure (in ₹ millions) | Income (in ₹ millions) | Profit %(+) / Loss %(-) |
2018 | 192 | - | +15% |
2019 | 248 | - | - |
2020 | 210 | - | +20% |
2021 | - | 359.6 | - |
2022 | - | - | -12% |
In 2021, if the profit percent (%) of the company was higher by 60% of the profit percent (%) in 2018, then the percent increase (approximately) in the expenditure of the Company in 2021 as compared to the previous year would be:
- A.
46%
- B.
45%
- C.
41%
- D.
38%
Attempted by 4 students.
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Correct answer: D
First, determine the profit percentage for 2021. The problem states it is higher by 60% of the profit percentage in 2018 (15%). The increase is 60% of 15%, which equals 9%. Thus, the profit percentage in 2021 is 15% + 9% = 24%.
Next, calculate the expenditure for 2021. Using the formula Income = Expenditure × (1 + Profit%/100), we have 359.6 = Expenditure × (1 + 0.24). Solving for Expenditure gives 359.6 / 1.24 = ₹290 million.
Finally, compute the percent increase in expenditure compared to 2020. The 2020 expenditure was ₹210 million. The increase is 290 - 210 = ₹80 million. The percent increase is (80 / 210) × 100 ≈ 38.1%, which rounds to approximately 38%.