Question
Find the total amount allocated to the Development
department over the five years and calculate its percentage share of the total budget allocated across all departments over these five years. A company distributes its yearly budget among five departments: Research, Development, Marketing, HR, and IT. The table below shows the percentage allocation of the budget to each department over five years. The total budget for each year is βΉ500 crores.Solution
Total allocation to Development over the five years: Development allocation = (25% of 500) + (24% of 500) + (26% of 500) + (25% of 500) + (20% of 500) = (125 + 120 + 130 + 125 + 100) crores = βΉ600 crores. Total budget across all departments over the five years: Total budget = 500 Γ 5 = βΉ2500 crores. Percentage share of Development: Percentage = (Development total / Total budget) Γ 100 = (600 / 2500) Γ 100 = 24%. Correct answer: a) βΉ600 crores, 24%.
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