Multiple choice

The cost of running a printing machine is Rs. 320 per 1000 copies. The cost of setting is Rs. 2000 for the first 5000 copies and after this, the cost of setting is 30 paise per copy. The other cost is 60 paise per copy. About 10000 copies of a magazine are printed, but only 8260 copies are sold at the rate of Rs. 1.75 each. What is the amount earned from advertisement, if a profit of 30% on the cost price is made?

  1. Rs. 1455

  2. Rs. 2095

  3. Rs. 2055

  4. Rs. 2105

  5. Rs. 1755
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Total cost = 320 * (10000/1000) + 2000 + (5000 * 0.30) + (10000 * 0.60) = 3200 + 2000 + 1500 + 6000 = 12700. Selling price = 8260 * 1.75 = 14455. Profit = 30% of 12700 = 3810. Total revenue needed = 12700 + 3810 = 16510. Advertisement = 16510 - 14455 = 2055.

AI explanation

The printing cost is 320 times 10, equaling Rs. 3200, and the setting cost is Rs. 2000 for the first 5000 copies plus 0.30 times 5000 for the remaining copies, totaling Rs. 3500. The other cost is 0.60 times 10000, equaling Rs. 6000, so the total cost is 3200 plus 3500 plus 6000, which equals Rs. 12700. To gain a 30% profit, the total revenue must be 1.30 times 12700, equaling Rs. 16510. The revenue from sales is 8260 times 1.75, which equals Rs. 14455. The amount earned from advertisement to reach the target profit is 16510 minus 14455, equaling Rs. 2055.

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