The cost of setting up a magazine is ₹ 2800. The cost of paper and ink etc is₹ 80 per 100 copies and printing cost is ₹ 160 per 100 copies. In the last month 2000 copies were printed but only 1500 copies could be sold at ₹ 5 each. Total `25%` profit on the sale price was realized. There is one more resource of income from the magazine which is advertising. What sum of money was obtained from the advertising in magazine?

Options

A. ₹ 1750
B. ₹ 2350
C. ₹ 1150
D. ₹ 1975

Answer

To solve the problem step by step, let's break down the information given and calculate the required values.

### Step 1: Calculate the total cost of setting up the magazine
The total cost consists of:
- Cost of setting up the magazine: ₹2800
- Cost of paper and ink for 2000 copies
- Printing cost for 2000 copies

### Step 2: Calculate the cost of paper and ink for 2000 copies
The cost of paper and ink is ₹80 per 100 copies.
For 2000 copies:
\[ \text{Cost of paper and ink} = \left(\frac{2000}{100}\right) \times 80 = 20 \times 80 = ₹1600 \]

### Step 3: Calculate the printing cost for 2000 copies
The printing cost is ₹160 per 100 copies.
For 2000 copies:
\[ \text{Printing cost} = \left(\frac{2000}{100}\right) \times 160 = 20 \times 160 = ₹3200 \]

### Step 4: Calculate the total investment
Now, we can calculate the total investment:
\[ \text{Total Investment} = \text{Setting up cost} + \text{Cost of paper and ink} + \text{Printing cost} \]
\[ \text{Total Investment} = 2800 + 1600 + 3200 = ₹7600 \]

### Step 5: Calculate the total earnings from selling the copies
1500 copies were sold at ₹5 each:
\[ \text{Total Earnings from sales} = 1500 \times 5 = ₹7500 \]

### Step 6: Calculate the profit realized
We know that a 25% profit on the sale price was realized.
To find the profit:
\[ \text{Profit} = 25\% \text{ of Total Earnings} = \frac{25}{100} \times 7500 = ₹1875 \]

### Step 7: Set up the equation for profit
Using the formula for profit:
\[ \text{Profit} = \text{Selling Price} + \text{Advertising Income} - \text{Cost Price} \]
Substituting the known values:
\[ 1875 = 7500 + \text{Advertising Income} - 7600 \]

### Step 8: Solve for Advertising Income
Rearranging the equation:
\[ \text{Advertising Income} = 1875 + 7600 - 7500 \]
\[ \text{Advertising Income} = 1875 + 100 = ₹1975 \]

### Conclusion
The sum of money obtained from advertising in the magazine is **₹1975**.

---