Question
The budget of a factory is distributed among raw materials, wages, and maintenance in the ratio 4:3:3. During a year, the cost of raw materials rises by 12%, wages by 8%, and maintenance falls by 10%. What is the overall percentage change in the total budget?
Solution: Total ratio = 4 + 3 + 3 = 10 (4 × 12) + (3 × 8) + (3 × (−10)) = 48 + 24 − 30 = 42 Overall change = 42/10 = 4.2% Final Answer: 4.2% increaseMore Previous year papers Questions
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