Question

If the incomes of the two companies in 2010 were equal, what was the ratio of their expenditure?

• A. 1:2
• B. 26:27
• C. 100:67
• D. Cannot be determined
• E. None of these

Answer 1

The correct option is B 26:27

In the year 2010,
Income of company A & B = Rs 100 (Let)
$\therefore$ For company A
$35=\frac{100-E_1\times 100}{E_1}$
$\Rightarrow 35E_1=10000-100E_1$
$\Rightarrow 135E_1=10000\Rightarrow E_1=\frac{10000}{135}$
For company B,
$30=\frac{100-E_2}{E_2}\times 100$
$\Rightarrow 30E_2=10000-100E_2$
$\Rightarrow 130E_2=10000\Rightarrow E_2=\frac{10000}{130}$
$\therefore$ Required ratio = $E_1:E_2=\frac{10000}{135}:\frac{10000}{130}$
$=\frac{3510}{135}:\frac{3510}{130}=26:27$