Question : Refer to the below data table and answer the following question.
| Items | Yearly Expenses in Rs. lakhs |
| Raw Materials | 12 |
| Labor | 6 |
| Rent | 3 |
| Interest | 4 |
| Taxes | 3 |
Raw Materials and Interest are what percent of total expenses?
Option 1: 49.89%
Option 2: 42.64%
Option 3: 64.39%
Option 4: 57.14%
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Correct Answer: 57.14%
Solution :
As per the given table,
The total yearly expenses = Rs. 28 lakhs
The combined expense of raw materials and interest = Rs. 12 lakh + Rs. 4 lakh = Rs. 16 lakhs
$\therefore$ The required percentage of total expenses
$=\frac{\text{Combined expenses of raw materials and interest}}{\text{Total Yearly Expenses}} \times 100 = \frac{16}{28} \times 100 = 57.14\%$
Hence, the correct answer is 57.14%.
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