The pie-charts below give the percentage distribution of employees in different Departments in XYZ Company Ltd. during the years 2005 and 2006. A - Administration; B - Operations; C - Sales & Marketing; D - Finance & Accounts; E - Corporate HQ.
2005 (total employees 18,000): A 22%, B 23%, C 18%, D 29%, E 8%.
2006 (total employees 20,000): A 24%, B 26%, C 20%, D 20%, E 10%.
If the average monthly salary of employees in Administration was Rs 12,000 in 2005, what was the approximate total salary expense of Administration in 2005?
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First convert Administration's 22% share of the 2005 workforce into an actual employee count, then multiply that count by the Rs 12,000 monthly salary to get the total monthly wage bill.
Step 1: Understanding the Question: We first need the actual headcount of the Administration department in 2005 from the pie chart, then multiply by the given monthly salary to get the total monthly salary bill.
Step 2: Key Formula or Approach: Headcount of a department \( = \) its pie-chart percentage \( \times \) total employees for that year. Then, total salary expense \( = \) headcount \( \times \) average salary.
Step 3: Detailed Explanation. Total employees in 2005 \( = 18{,}000 \). Administration's share \( = 22\% \). \[ \text{Administration headcount} = 0.22 \times 18{,}000 = 3{,}960 \text{ employees} \] Each of these employees earns Rs 12,000 a month on average, so the monthly wage bill is \[ 3{,}960 \times 12{,}000 = 47{,}520{,}000 \text{ Rs} \]
Step 4: Final Answer: Rs 47,520,000 works out to about Rs 4.75 crore, since 1 crore = 1,00,00,000. \[ \boxed{\text{Rs. 4.7 crores}} \]
