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Q: If the ratio of sales of companies Q and R in 2000 was 1: 2, then by what percentage should the sales of company Q grow in 2005, when compared to that in 2004, for the sales of company Q in 2005 to be equal to that of company R in 2004
A. 62 B. 70
C.  78 D. 85
E. 95

Answer and Explanation

Answer: 78

Explanation:
increase in sales of Q from 2000 to 2004 = 1.1 x 1.5 x 1.2 x 1.25 = 2.475
=> 147.5%
=> Increase in sales of R from 2000 to 2004
=> = 1.05 x 1.2 x 1.25 x 1.4 = 2.205 = 120. 5%
=> Had the sales of Q and R in 2000 been 100 and 200 respectively, their sales in 2004 would hav been respectively 247.5 and 441.
=> Sales of company Q has to increase by
=> 441 – 247.5 / 247.5 x 100 = 193.5 / 247.5 x 100
78% in 2005 to match the sales figure of company R in 2004.

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