Aptitude Discussion

Q. |
Ritesh and Co. generated revenue of Rs. 1,250 in 2006. This was $12.5%$ of its gross revenue. In 2007, the gross revenue grew by Rs. 2,500. What is the percentage increase in the revenue in 2007? |

✖ A. |
$12.5\%$ |

✖ B. |
$20\%$ |

✔ C. |
$25\%$ |

✖ D. |
$50\%$ |

**Solution:**

Option(**C**) is correct

We are given that Ritesh and Co. generated revenue of Rs. 1,250 in 2006 and that this was $12.5\%$ of the gross revenue.

Hence, if 1250 is $12.5\%$ of the revenue, then 100% (gross revenue) is:

\(=\dfrac{100}{12.5}\times 1250\)

\(=10,000\)

Hence, the total revenue by end of 2007 is Rs. 10,000. In 2006, revenue grew by Rs. 2500. This is a growth of:

\(=\dfrac{2500}{10000}\times 100\)

\(=25\%\)

**MKO**

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**Vejayanantham TR**

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Edit the question.

In the question, you have asked what is the growth in revenue. But in answer, you have solved that using the gross revenue.

i think the answer should be 33% because we have to find the percentage growth of revenue in 2007 as compare to 2006. isnt it?