| Direction: The following pie-charts give the values of the sales and expenses of five companies -A, B, C, D and E - as a percentage of the total sales and expenses of these five companies put together. |
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| Note: (i) Profit = Sales - Expenses (ii) Profit Percentage = (Profit/Expenses) \[\times \]100 (iii) No company made a loss. |
A) E
B) B
C) D
D) A
E) C
Correct Answer: D
Solution :
Let the total sales be 100x and total expenses be 100y. Then, profit for \[A\to 15x-5y\] \[B\to 20x-18y\] \[C\to 22x-20y\] \[D\to 8x-22y\] \[E\to 35x-35y\] Ratio of profit to expenses \[A\to \frac{15x-5y}{5y}=\frac{15x}{5y}-1\] (Highest) \[B\to \frac{20x-18y}{18y}=\frac{20x}{18y}-1\] \[C\to \frac{22x-20y}{20y}=\frac{22x}{20y}-1\] \[D\to \frac{8x-22y}{22y}=\frac{8x}{22y}-1\] \[E\to \frac{35x-35y}{35y}=\frac{35x}{35y}-1\] The ratio of profit to expense will be the highest for A. So, the ratio of expense to profit will be the lowest for A.
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