Question 3 - Figure it out - Page 19, 20 - Chapter 1 Class 8 - Fractions in Disguise (Ganita Prakash II)

Transcript

Question 3 The total sales of a company (also called revenue) was ₹2.5 crore last year. They had a healthy profit margin of 25%. What was the total expenditure (costs) of the company last year?Given Revenue = ₹ 2.5 crore Profit margin = 25% Here, Profit = Revenue – Expenditure We need to find Expenditure of the company Now, Profit Margin = 𝑃𝑟𝑜𝑓𝑖𝑡/𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒 × 100 Profit Margin = (𝑅𝑒𝑣𝑒𝑛𝑢𝑒 −𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒)/𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒 × 100 Putting values 25 = (2.5 − 𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒)/𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒 × 100 25/100 = (2.5 − 𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒)/𝐸𝑥𝑝𝑒𝑛𝑑𝑖𝑡𝑢𝑟𝑒 𝟏/𝟒 = (𝟐.𝟓 − 𝑬𝒙𝒑𝒆𝒏𝒅𝒊𝒕𝒖𝒓𝒆)/𝑬𝒙𝒑𝒆𝒏𝒅𝒊𝒕𝒖𝒓𝒆 Cross multiplying 1 × Expenditure = 4 × (2.5 – Expenditure) Expenditure = 4 × 2.5 – 4 × Expenditure Expenditure = 10 – 4 × Expenditure Expenditure + 4 × Expenditure = 10 5 × Expenditure = 10 Expenditure = 10/5 Expenditure = 2 Since revenue was in crores, expenditure will be in crores Thus, the total expenditure (cost) was ₹2 crore.