Question : Refer to the following data table and answer the question.
| Items | Yearly Expenses in Rs. lakhs |
| Raw Material | 12 |
| Labour | 8 |
| Rent | 6 |
| Interest | 2 |
| Taxes | 4 |
Expenditure on raw materials and taxes is what percent of total expenses?
Option 1: 46 percent
Option 2: 44 percent
Option 3: 52 percent
Option 4: 50 percent
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Correct Answer: 50 percent
Solution :
From the table,
The total yearly expense is the sum of all these expenses = 12 + 8 + 6 + 2 + 4 = 32 lakhs
The combined expenditure on raw materials and taxes = 12 + 4 = 16 lakhs
The expenditure on raw materials and taxes as a percentage of the total expenses = $\frac{16}{32}$ × 100 = 50%
Hence, the correct answer is 50 percent.
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