Comprehension
An Indian company, having its registered office at Gurugram, is engaged in manufacturing of consumer goods at Noida. The goods manufactured by the company are sold in Indian market and exported to Europe. Company produces five products namely "P','Cr,'R','S' and 'T. Total production of the company for the financial year 2021-22 is 3,000 tonnes and the turnover of the company is 50 million. An analysis of the production and net revenue generation shows that production of product '13' is 21% of the total production and 18% of the turnover is attributable to product '13'; production of is 16% of the total production and 17% of the turnover is attributable to 17; 'R' accounts for 18% of the total production and 20% of the turnover; 'S' accounts for 20% of the total production and 25% of the turnover, and; 'T' accounts for 25% of total production and 20% of turnover.
Question: 1
What is the percentage of profit earned from sale of 'R', if the expenditure incurred on production of 'R' is ₹ 15,000/- per tonne ?
What is the percentage of profit earned from sale of 'R', if the expenditure incurred on production of 'R' is ₹ 15,000/- per tonne ?
Updated On: Jul 14, 2026
- 20%
- 23.46%
- 26.55%
- 25%
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The Correct Option is B
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The correct option is (B): 23.46%.
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Product R accounts for 18% of the total production of 3,000 tonnes, which is \( 0.18 \times 3000 = 540 \) tonnes, and 20% of the total turnover of ₹5,00,00,000 (50 million), which works out to \( 0.20 \times 5,00,00,000 = 1,00,00,000 \) rupees. With expenditure of ₹15,000 per tonne, total expenditure on R is \( 540 \times 15000 = 81,00,000 \) rupees. Let's check each option against the resulting profit percentage:
- 20%: A 20% profit on an expenditure of 81,00,000 rupees would mean a profit of only 16,20,000 rupees, giving revenue of about 97,20,000 rupees, less than the actual revenue of 1,00,00,000 rupees, so this understates the profit.
- 23.46%: The actual profit is revenue minus expenditure, \( 1,00,00,000 - 81,00,000 = 19,00,000 \) rupees. As a percentage of expenditure, this is \( \frac{19,00,000}{81,00,000} \times 100 \approx 23.46\% \), matching this option exactly.
- 26.55%: This would require a profit of roughly 21,50,000 rupees, higher than the actual profit of 19,00,000 rupees, so it overstates the return.
- 25%: A clean 25% profit would mean a profit of 20,25,000 rupees, again higher than the actual 19,00,000 rupee profit figure, so it does not match.
Working from the actual revenue and expenditure figures for R gives a profit percentage of exactly 23.46%.
Therefore, the correct answer is 23.46%.
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Question: 2
Which product has the highest selling price per tonne?
Which product has the highest selling price per tonne?
Updated On: Jul 14, 2026
- Q
- R
- S
- T
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The Correct Option is C
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The correct option is (C): S.
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The selling price per tonne of a product is its turnover divided by its production quantity. Since total production and total turnover are the same fixed base for every product, the price per tonne is proportional to (turnover share) divided by (production share). Let's compute this ratio for each option:
- Q: Q accounts for 16% of production and 17% of turnover, giving a ratio of \( \frac{17}{16} \approx 1.06 \), meaning its price per tonne is only slightly above the overall average.
- R: R accounts for 18% of production and 20% of turnover, giving a ratio of \( \frac{20}{18} \approx 1.11 \), a bit higher than Q but still short of the top.
- S: S accounts for 20% of production and 25% of turnover, giving a ratio of \( \frac{25}{20} = 1.25 \), the highest among all products, meaning S earns disproportionately more turnover per unit produced.
- T: T accounts for 25% of production but only 20% of turnover, giving a ratio of \( \frac{20}{25} = 0.8 \), the lowest of all five products, so it actually has a below-average selling price.
Since S turns a comparatively large 25% of turnover from just 20% of production, it commands the highest selling price per tonne of all the products.
Therefore, the correct answer is S.
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Question: 3
How much loss is incurred to company, if the expenditure on production of was 20,000 per tonne?
How much loss is incurred to company, if the expenditure on production of was 20,000 per tonne?
Updated On: Jul 14, 2026
- 5 million
- 10 million
- 4 million
- 7 million
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The Correct Option is A
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The correct option is (A): 5 million.
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Product T accounts for 25% of the total production of 3,000 tonnes, which is \( 0.25 \times 3000 = 750 \) tonnes, and 20% of the total turnover of ₹5,00,00,000 (50 million), which works out to \( 0.20 \times 5,00,00,000 = 1,00,00,000 \) rupees. At an expenditure of ₹20,000 per tonne, total expenditure on T comes to \( 750 \times 20000 = 1,50,00,000 \) rupees. Let's check each option against the resulting loss:
- 5 million: The loss is expenditure minus revenue, \( 1,50,00,000 - 1,00,00,000 = 50,00,000 \) rupees, which is 5 million, matching this option.
- 10 million: A loss of 10 million would mean expenditure of 2,00,00,000 rupees, double the actual expenditure figure of 1,50,00,000 rupees, so this overstates the loss considerably.
- 4 million: This would require expenditure of only 1,40,00,000 rupees, less than the actual 1,50,00,000 rupees spent on T, so it understates the loss.
- 7 million: This would require expenditure of 1,70,00,000 rupees, again higher than the actual 1,50,00,000 rupees, so it does not match either.
Working from T's actual expenditure of 1,50,00,000 rupees against its revenue of 1,00,00,000 rupees gives a loss of exactly 5 million.
Therefore, the correct answer is 5 million.
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Question: 4
What percentage of turnover of has to turnover of 'T' ?
What percentage of turnover of has to turnover of 'T' ?
Updated On: Jul 14, 2026
- 100%
- 75%
- 50%
- 60%
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The Correct Option is A
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The correct option is (A): 100% .
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This question compares the turnover of R with the turnover of T. R accounts for 18% of the total production but 20% of the total turnover of ₹5,00,00,000, giving R a turnover of \( 0.20 \times 5,00,00,000 = 1,00,00,000 \) rupees. T accounts for 25% of production but also 20% of turnover, giving T the same turnover figure of \( 0.20 \times 5,00,00,000 = 1,00,00,000 \) rupees. Let's check the options:
- 100%: Since R's turnover share (20%) and T's turnover share (20%) are identical, R's turnover as a percentage of T's turnover is \( \frac{1,00,00,000}{1,00,00,000} \times 100 = 100\% \), matching this option exactly.
- 75%: This would require R's turnover to be three-quarters of T's, but since both products draw the same 20% turnover share, their turnovers are equal, not in a 3:4 ratio.
- 50%: This would mean R's turnover is half of T's, which would only hold if R's turnover share were 10%, but the data clearly assigns R a 20% share, equal to T's.
- 60%: This again assumes R's turnover share is smaller than T's, which contradicts the fact that both are given an identical 20% share of the total turnover.
Because R and T both draw exactly 20% of the total turnover, their turnovers are equal, making R's turnover exactly 100% of T's.
Therefore, the correct answer is 100%.
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Question: 5
What is the average selling price per tonne of all products taken together ?
What is the average selling price per tonne of all products taken together ?
Updated On: Jul 14, 2026
- ₹ 17,488
- ₹ 17,667
- ₹ 18,667
- ₹ 16,667
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The Correct Option is D
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The correct option is (D): ₹ 16,667.
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The average selling price per tonne across all products is simply the total turnover divided by the total production, since these figures already account for every product together. Total turnover is ₹5,00,00,000 and total production is 3,000 tonnes. Let's check each option:
- ₹17,488: Multiplying this rate by 3,000 tonnes would give a turnover of about 5,24,64,000 rupees, higher than the actual total turnover of 5,00,00,000 rupees, so this overstates the average.
- ₹17,667: This rate would imply a total turnover of about 5,30,01,000 rupees, again exceeding the actual 5,00,00,000 rupee figure, so it does not fit.
- ₹18,667: Scaled up over 3,000 tonnes, this would give a turnover of about 5,60,01,000 rupees, well above the actual total, so this is too high.
- ₹16,667: Dividing the total turnover by the total production, \( 5,00,00,000 / 3000 \approx 16,667 \) rupees, which matches this option.
Since the total turnover and total production figures are already summed across all five products, dividing one by the other directly gives the average selling price per tonne.
Therefore, the correct answer is ₹16,667.
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