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The following pie-chart shows the percentage distribution of the expenditure incurred in manufacturing a ceiling fan. Study the pie-chart and answer t
Question

The following pie-chart shows the percentage distribution of the expenditure incurred in manufacturing a ceiling fan. Study the pie-chart and answer the question.

If 10,000 ceiling fans are manufactured and the transportation cost on them amounts to ₹36,000, then what should the selling price of each ceiling fan be, so that the manufacturer can earn a profit of 50%?

A.

₹40

B.

₹75

C.

₹50

D.

₹60

Correct option is D

Given:
Expenditure Distribution (Pie-Chart Data):
Manufacturing Cost = 30%
Advertisement = 11%
Direct Material Cost = 22%
Direct Labour Cost = 28%

Transportation Cost = 9%
Total Fans Manufactured = 10,000
Desired Profit = 50%
Solution:
Transportation Cost = ₹36,000 ​​
Let Total Cost (100%) = C 
9% of C=36,0009\% \text{ of } C = 36,000

0.09C = 36,000​

C =36,0000.09=4,00,000 \frac{36,000}{0.09} = ₹4,00,000​​

Cost per Fan =Total CostNumber of Fans=4,00,00010,000=40 \frac{\text{Total Cost}}{\text{Number of Fans}} = \frac{4,00,000}{10,000} = ₹40
Selling Price per Fan = Cost per Fan + 50% Profit
=40+(0.50×40)= ₹40 + (0.50 \times 40) ​= ₹40 + ₹20 = ₹60

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