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Question

If in the year 2004, the expenditure incurred by company A and B was the same, what was the ratio of the income of company A to that of B in that year?

A
27:28
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B
14:23
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C
13:19
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D
Cannot be determined
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E
None of these
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Solution

The correct option is A 27:28
Let the expenditure of companies A and B in 2004 be Rs 1 lakh each.
For company A, 35=I1II×100
135I=100I1 ...(i)
For company B, 40=I2II×100
140 I=100I2 ...(ii)
Dividing Eqs. (i) by (ii).
I1I2=135140=2728

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