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There are 3 types of expenditure in a ca...

There are 3 types of expenditure in a car. Ist raw material, IInd labour expenditure, IIIrd is extra expenditure. The ratio of these expenditure are 4:3:2. If Ist expenditure is increased by 10%, IInd is increased by 8% and IIIrd is decreased by 5%. Find the percentage change in price of car.

A

`4%`

B

`2%`

C

`5%`

D

`6%`

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will follow these instructions: ### Step 1: Understand the given ratio of expenditures The expenditures are given in the ratio of 4:3:2 for raw material, labour, and extra expenditure respectively. ### Step 2: Assign values based on the ratio Let us assume a common factor \( K \) for the ratio. Therefore: - Raw Material Expenditure = \( 4K \) - Labour Expenditure = \( 3K \) - Extra Expenditure = \( 2K \) ### Step 3: Calculate the total initial expenditure Now, we can calculate the total initial expenditure (which is also the price of the car): \[ \text{Total Expenditure} = 4K + 3K + 2K = 9K \] ### Step 4: Calculate the new expenditures after the changes 1. **Raw Material Expenditure**: Increased by 10% \[ \text{New Raw Material Expenditure} = 4K + 0.10 \times 4K = 4K + 0.4K = 4.4K \] 2. **Labour Expenditure**: Increased by 8% \[ \text{New Labour Expenditure} = 3K + 0.08 \times 3K = 3K + 0.24K = 3.24K \] 3. **Extra Expenditure**: Decreased by 5% \[ \text{New Extra Expenditure} = 2K - 0.05 \times 2K = 2K - 0.1K = 1.9K \] ### Step 5: Calculate the total new expenditure Now, we can calculate the total new expenditure: \[ \text{New Total Expenditure} = 4.4K + 3.24K + 1.9K = 9.54K \] ### Step 6: Calculate the percentage change in price To find the percentage change in price, we use the formula: \[ \text{Percentage Change} = \frac{\text{New Price} - \text{Old Price}}{\text{Old Price}} \times 100 \] Substituting the values: \[ \text{Percentage Change} = \frac{9.54K - 9K}{9K} \times 100 = \frac{0.54K}{9K} \times 100 = \frac{54}{9} = 6\% \] ### Final Answer The percentage change in the price of the car is **6%**. ---
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