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Question 74

An oil refinery takes 100 litres of crude oil as input and after refining for 1 hour gives certain amount of output oil X litres. This can be sold in the market at a profit of Rs 30 per litre. If this oil is further refined for $$\frac{1}{2}$$ hour it gives oil Y litres. This can be sold at a profit of Rs. 50 per litre. Output and input ratio at both the stages is 90%. The maximum amount that can be earned from 1000 litres of crude input is

Solution

Case 1:

Input = 1000L

Output = 1000*.9 = 900L

Profit = 900*30 = 27000

Case 2:

Input = 900L

Output = 900*.9 = 810L

Profit = 810*50 = 40500 rupees.

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