Question

The following bar chart shows the income and expenditure (in lakhs) of five companies (P, Q, R, S, T) in the year 2020. The percentage profit or loss of a company is given by:

(Profit or loss) % = 1-E/E × 100; where I = income, E = expenditure

If the income of company R in 2020 was 10% more than its income in 2019 and the company had earned a profit of 30% in 2019, then its approximate expenditure in 2019 (in lakhs) was:

• A. ₹61.54
• B. ₹51.23
• C. ₹58.37
• D. ₹63.14

Answer 1

Answer:

A. ₹61.54

From the bar chart:

Company R (2020 income) = 88 lakhs

Find income in 2019

Given 2020 income is 10% more than 2019:

$\text{Income}_{2019} = \frac{88}{1.1} = 80 \text{ lakhs}$

Use profit formula

Profit % = 30%

$\frac{I - E}{E} \times 100 = 30$

$\Rightarrow \frac{I - E}{E} = 0.3$

$\Rightarrow I = 1.3E$

Find expenditure in 2019

$E = \frac{I}{1.3} = \frac{80}{1.3} \approx 61.54$