Directions: Study the given graph and answer the question that follows.
The graph shows the profit percentage earned by two companies A and B over a period of six years.
If the income of company A in the year 2012 was ₹6,425 lakhs, what was its expenditure in the year?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is Option 1 i.e. ₹4.43 lakh.
Let the expenditure be x
The income of company A in the year 2012 = ₹6,425 lakhs
Profit = 45%
Profit Percentage = (Income - Expenditure)/Expenditure × 100
⇒ 45 = [(6425 - x)/x] × 100
⇒ 0.45 = (6425 - x)/x
⇒ 0.45x = 6425 - x
⇒ 0.45x + x = 6425
⇒ 1.45x = 6425
⇒ x = 4431.03 or 4.43 lakhs