If the cost of production in 2004 and 2007 be increases by 25% and 30% respectively , then by what per cent will the total cost in these both years be more than the sales revenue of the year 2008?

Options

A. `62.7%`
B. `65.7%`
C. `67.7%`
D. `68.5%`

Answer

A

Explanation

New production cost in the year 2004
`=(625xx125)/(100)`
`=RS781.25` thousand
New production cost in the year `2007=(400xx130)/(100)`
=RS 520 thousand
`:.` Total cost =781.25+520
= RS 1301.25 thousand
`:.` Required percentage
`((1301.25-800)/(800))xx100`
`=(501.25xx100)/(800)=62.7%`