Question : The table given below represents the cost, revenue, and tax rate for XYZ Limited for a period of 8 years. Cost and revenue are given in crores.
| Year | Revenue | Cost | Tax rate |
| Y1 | 800 | 600 | 20% |
| Y2 | 1100 | 850 | 22% |
| Y3 | 1200 | 900 | 22% |
| Y4 | 1200 | 950 | 25% |
| Y5 | 1350 | 1050 | 30% |
| Y6 | 1500 | 1200 | 30% |
| Y7 | 1600 | 1240 | 33% |
| Y8 | 1850 | 1400 | 15% |
Profit for any year = Revenue – Cost
Profit after tax for any year = profit of that year – tax of that year
Tax on any year = tax rate of that year $×$ profit of the year
What is the total sum (INR crore) of profit after tax from Y1 to Y8?
Option 1: 1763.6
Option 2: 1803.2
Option 3: 1829.2
Option 4: 1872.4
Correct Answer: 1829.2
Solution :
The total sum of profit = Profit of Y1 + Profit of Y2 + Profit of Y3 + Profit of Y4 + Profit of Y5 + Profit of Y6 + Profit of Y7 + Profit of Y8.
Profit (before tax) for Y1, 800 – 600 = 200
Profit (before tax) for Y2, 1100 – 850 = 250
Profit (before tax) for Y3, 1200 – 900 = 300
Profit (before tax) for Y4, 1200 – 950 = 250
Profit (before tax) for Y5, 1350 – 1050 = 300
Profit (before tax) for Y6, 1500 – 1200 = 300
Profit (before tax) for Y7, 1600 –1240 = 360
Profit (before tax) for Y8, 1850 – 1400 = 450
So, the total sum of profit = 200 × (1 – $\frac{20}{100}$) + 250 × (1 – $\frac{22}{100}$) + 300 × (1 – $\frac{22}{100}$) + 250 × (1 – $\frac{25}{100}$) + 300 × (1 – $\frac{30}{100}$) + 300 × (1 – $\frac{30}{100}$) + 360 × (1 – $\frac{33}{100}$) + 450 × (1 – $\frac{13}{100}$)
= 160 + 195 + 234 + 187.5 + 210 + 210 + 241.2 + 391.5 = 1829.2 (in INR crore)
Hence, the correct answer is 1829.2.
Related Questions
Know More about
Staff Selection Commission Combined Grad ...
Result | Eligibility | Application | Selection Process | Preparation Tips | Admit Card | Answer Key
Get Updates Brochure
Your Staff Selection Commission Combined Graduate Level Exam brochure has been successfully mailed to your registered email id “”.
