Hi hardik grover,

I think you are talking about question number 4.

In the question, we are given that 5% interest is charged on the reduced balance (i.e. on the remaining amount after paying the 1200).

Since the interest is charged every year separately, both S.I. and C.I. fetch the same answer as the time period is 1 year.

I hope this helps.

Hi,
Can you explain which part of the solution you have trouble understanding? It will help us to help better.

Hi Dehati Gawar,
For 1Tv profit is 2000 and for 1vcr profit is 2500. We can buy 100 TVs for 10 lakh only and can still spend 2lakhs. So we utilize the maximum amount we can spend in order to earn maximum profit.

100 VCRs will cost 15lakhs, but we can spend only 12 lakhs.

sorry, i understood, as total pieces need to be 100. we have to consider VCRs

Had he bought 100 TVs then the total money spent =10lakhs, still he can spend 2lakh rupees.

If we consider the profit per unit, there is Rs2000 profit on TV and Rs2500 profit on VCR, thus we can make sure that he buy more number of VCRs, but also keeping in mind the budget of 12lakhs.

If suppose there is no limit of how much you can spend, then it is obvious to buy only VCR as there is an extra profit margin.

But there is constraint on the amount one can spend, thus we will make sure to buy 100 items within the limit 12000.(in this case)

We can make the two equations.

Hi Pravati,

T is the no. of TV and V is the no. of VCR. By multiplying them with their cost, we get the total revenue.

Hope this helps.

Revenue is what he gets as income right? The expression above gives how much the items cost him. Isn't revenue what he gets when he sells the items?

Hi Parvati,

We have updated the solution. We hope it is more clear now.

Hope this helps.

Hi,

We need to maximize the profit, not profit percentage.

Here, absolute profits have to be taken into consideration and not %age profit. Your calculations are correct but applicable if the question had been concerned with maximising %age profit.