CAT Quantitative Ability Questions | CAT Percentage, Profit & Loss questions

CAT/2002

Question . 72

Davji Shop sells Samosas in boxes of different sizes. The Samosas are priced at Rs 2 per Samosa up to 200 Samosas. For every additional 20 Samosas, the price of the whole lot goes down by 10 paise per Samosa. What should be the maximum size of the box that would maximise the revenue?

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Explanatory Answer

Method of solving this CAT Quantitative Ability Question from Percentage, Profit & Loss question

(b) For 200 Samosas prices = 2 × 200 = Rs 400

For 220 Samosas prices = 1.90 × 220 = Rs 418

For 240 Samosas prices = 1.80 × 240 = Rs 432

For 260 Samosas prices = 1.70 × 260 = Rs 442

For 280 Samosas prices = 1.60 × 280 = Rs 448

For 300 Samosas prices = 1.50 × 300 = Rs 450

For 320 Samosas prices = 1.40 × 320 = Rs 448

Hence we see that revenue increase when size increases up to 300.

After 300 revenue reduces therefore maximum size for maximise the revenue = 300 Samosas