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  1. For Company R, if the expenditure had increased by 20% in year 2001 from year 2000 and the company had earned profit of 10% in 2000, what was the Company's income in 2000 (in million US $)?

    2. A.

    35.75
    B.

    37.25
    C.

    38.5
    D.

    41.25

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    Answer : Option D

    Explanation :

    Let the expenditure of Company R in 2000 be x million US $.

    Then, expenditure of Company R in 2001 = [ [120100 x x ] million US $

    Therefore 120X100 = 45 =>     x = 37.5.

    i.e., expenditure of Company R in 2000 = 37.5 million US $.

    Let the income of Company R in 2000 be I million US $.

    Then, 10 = (I−37.5)37.5 X 100 [ Ref %Profit in 2000 = 10%]

    => I - 37.5 = 3.75

        => I = 41.25

             i.e., Income of Company R in 2000 = 41.25 million US $.

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