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The average revenues of 7 consecutive ye...

The average revenues of 7 consecutive years of a company is Rs. 75 lakhs. If the average of first 4 years is Rs. 70 lakhs and that of last 4 years is Rs. 82 lakhs, what will be the revenue for the 4th year ?

A

Rs. 85 lakhs

B

Rs. 83 lakhs

C

Rs. 81 lakhs

D

Rs. 79 lakhs

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AI Generated Solution

The correct Answer is:
To find the revenue for the 4th year based on the given information, we will follow these steps: ### Step 1: Calculate the total revenue for 7 years The average revenue for 7 years is given as Rs. 75 lakhs. To find the total revenue for these 7 years, we multiply the average by the number of years. \[ \text{Total Revenue} = \text{Average} \times \text{Number of Years} = 75 \text{ lakhs} \times 7 = 525 \text{ lakhs} \] ### Step 2: Calculate the total revenue for the first 4 years The average revenue for the first 4 years is given as Rs. 70 lakhs. We calculate the total revenue for these 4 years similarly. \[ \text{Total Revenue for First 4 Years} = 70 \text{ lakhs} \times 4 = 280 \text{ lakhs} \] ### Step 3: Calculate the total revenue for the last 4 years The average revenue for the last 4 years is given as Rs. 82 lakhs. We calculate the total revenue for these 4 years. \[ \text{Total Revenue for Last 4 Years} = 82 \text{ lakhs} \times 4 = 328 \text{ lakhs} \] ### Step 4: Set up the equation to find the revenue for the 4th year The total revenue for the first 4 years includes the revenue for the 4th year, while the total revenue for the last 4 years also includes the revenue for the 4th year. To find the revenue for the 4th year, we can use the total revenues calculated: Let \( R_4 \) be the revenue for the 4th year. The total revenue for the first 4 years can be expressed as: \[ R_1 + R_2 + R_3 + R_4 = 280 \text{ lakhs} \quad (1) \] The total revenue for the last 4 years can be expressed as: \[ R_4 + R_5 + R_6 + R_7 = 328 \text{ lakhs} \quad (2) \] ### Step 5: Combine the equations From equation (1), we can express \( R_1 + R_2 + R_3 \) as: \[ R_1 + R_2 + R_3 = 280 - R_4 \] From equation (2), we can express \( R_5 + R_6 + R_7 \) as: \[ R_5 + R_6 + R_7 = 328 - R_4 \] ### Step 6: Calculate the total revenue excluding the 4th year The total revenue for all 7 years can also be expressed as: \[ (R_1 + R_2 + R_3) + (R_4) + (R_5 + R_6 + R_7) = 525 \text{ lakhs} \] Substituting the expressions from above: \[ (280 - R_4) + R_4 + (328 - R_4) = 525 \] ### Step 7: Simplify the equation Combining the terms gives: \[ 280 + 328 - R_4 = 525 \] ### Step 8: Solve for \( R_4 \) Now, we can solve for \( R_4 \): \[ 608 - R_4 = 525 \] \[ R_4 = 608 - 525 = 83 \text{ lakhs} \] ### Conclusion The revenue for the 4th year is Rs. 83 lakhs. ---
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