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Question

Q. The cost of manufacture of an article is made up of four components A, B, C and D which have a ratio of 3: 4: 5: 6 respectively. If there are respective change in the cost of +12%, -18%, -30% and +43% and initial cost of the article is RS. 342, find the new cost of the article.

A
Rs. 355.68
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B
Rs. 348.10
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C
Rs. 356.64
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D
Rs. 360.2
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E
None of these
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Solution

The correct option is A Rs. 355.68
Assume the cost components to be valued at 3x,4x,5x and 6x respectively.
New cost of components = 3.3x, 3.28x, 3.5x and 8.58x respectively
The original total cost was18x, the new one is 18.72x
The percentage change is 0.7218=4%
New cost of the article = Rs. 342×1.04 =Rs.355.68

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