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Question



The above pie chart shows the contribution of various factors towards the price in 2008

If the manufacturing cost and the profit remained constant for 2008 and 2009, and if the logistics cost for 2008 and 2009 were Rs 200 and Rs 270, what was the percentage increase in raw material cost?


A

40

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B

50

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C

60

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D

cannot be determined

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Solution

The correct option is C

60


Logistics cost for 2008 = Rs 200
So, total cost = Rs 1000
Hence, Raw material cost in 2008 = Rs 300
Total cost in 2009 =Rs 1250
So increase in raw material cost = Rs 180

Therefore, percentage increase = 60%


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