Study the line chart and table given below and answer the following questions
Line chart shows the number of chairs manufactured by 4 different chair manufacturers (A, B, C & D) in 2016 & 2017 and table shows the number of chairs sold by these manufacturers in 2016 & 2017.
| Manufacturer | Chairs sold | |
|---|---|---|
| 2016 | 2017 | |
| A | 840 | 1440 |
| B | 900 | 1080 |
| C | 570 | 900 |
| D | 810 | 720 |
If manufacturing cost of a chair for D in 2016 & 2017 is Rs .200 and selling price of a chair for D in 2016 & 2017 is Rs.250 and Rs.400 respectively, then find profit% is maximum in which year among 2016 & 2017 for D? (D destroyed all the unsold chairs in these 2 years)
Correct Answer :
Maximum in 2017
Solution :
Correct Option: Maximum in 2017
Let's analyze the visual data provided in the line chart and table for manufacturer D in both 2016 and 2017.
From the line chart, the total number of chairs manufactured by D is:
• Chairs manufactured in 2016: 900
• Chairs manufactured in 2017: 1200
From the table, the total number of chairs sold by D is:
• Chairs sold in 2016: 810
• Chairs sold in 2017: 720
Given information:
• Cost Price (CP) per manufactured chair = Rs. 200 (in both 2016 & 2017)
• Selling Price (SP) per sold chair in 2016 = Rs. 250
• Selling Price (SP) per sold chair in 2017 = Rs. 400
• Note: Unsold chairs were destroyed, meaning total expenditure/cost is calculated on all manufactured chairs.
Step 1: Calculations for the year 2016
Total Cost Price (CP) in 2016 = Total Manufactured Chairs × Cost Price per Chair
Total Revenue/Selling Price (SP) in 2016 = Total Sold Chairs × Selling Price per Chair
Profit in 2016 = Total SP - Total CP
Profit percentage in 2016:
Step 2: Calculations for the year 2017
Total Cost Price (CP) in 2017 = Total Manufactured Chairs × Cost Price per Chair
Total Revenue/Selling Price (SP) in 2017 = Total Sold Chairs × Selling Price per Chair
Profit in 2017 = Total SP - Total CP
Profit percentage in 2017:
Conclusion:
Comparing the profit percentages of both years (12.5% in 2016 vs 20% in 2017), the profit percentage is Maximum in 2017.
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