Question Details

The average salary of 5 managers and 25 engineers in a company is 60000 rupees. If each of the managers received 20% salary increase while the salary of the engineers remained unchanged, the average salary of all 30 employees would have increased by 5%. The average salary, in rupees, of the engineers is

Options

A

45000

B

50000

C

54000

D

40000

Show Answer

Correct Answer :

Option C

54000

Solution :

The correct option is 54000.

Let us break down the problem step-by-step to understand how to arrive at this answer.

Step 1: Understand the initial state of the employees' salaries
The company has 5 managers and 25 engineers, making a total of 30 employees.
The initial average salary of these 30 employees is 60,000 rupees.
Therefore, the total initial salary of all 30 employees can be calculated as:
Total Initial Salary = 30 × 60,000 = 1,800,000 rupees
Let the average salary of the managers be Sm and the average salary of the engineers be Se.
The sum of the salaries of the 5 managers is 5Sm, and the sum of the salaries of the 25 engineers is 25Se.
So, we can write our first equation:
5 Sm + 25 Se = 1,800,000
Dividing the entire equation by 5 simplifies it to:
Sm + 5 Se = 360,000
We will refer to this as Equation (1).

Step 2: Analyze the effect of the salary increase
Each of the 5 managers receives a 20% salary increase, while the engineers' salaries remain unchanged.
A 20% increase in each manager's salary means the total increase in the managers' salary pool is:
Increase in Managers' Total Salary = 0.20 × ( 5 Sm ) = Sm
This increase in the total salary pool causes the average salary of all 30 employees to increase by 5%.
The increase in the overall average salary is:
5 % of 60,000 = 0.05 × 60,000 = 3,000 rupees
The total increase in the salary pool of all 30 employees is:
Total Increase in Salaries = 30 × 3,000 = 90,000 rupees
Since the only source of this increase is the managers' 20% raise, the total increase in managers' salary must equal this total salary pool increase:
Sm = 90,000 rupees
Thus, the average salary of the managers (Sm) is 90,000 rupees.

Step 3: Solve for the average salary of the engineers
Now we substitute the value of Sm into Equation (1):
90,000 + 5 Se = 360,000
Subtract 90,000 from both sides:
5 Se = 270,000
Divide by 5 to find Se:
Se = 270,000 5 = 54,000
Therefore, the average salary of the engineers is 54,000 rupees.

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