The cost of setting up a magazine is Rs. 2800. The cost of paper and ink etc is Rs. 80 per 100 copies and printing cost is Rs.160 per 100 copies. In the last month 2000 copies were printed but only 1500 copies could be sold at Rs. 5 each. Total 25% profit on the sale price was realized. There is one more resource of income from the magazine which is advertising. What some of money was obtained from the advertising in magazine?
Correct Answer: Rs. 1975
Explanation:
Setup cost = Rs. 2800
Paper etc. = Rs. 1600
Printing cost = Rs. 3200
Total cost = Rs. 7600
Total sale price = 1500 x 5 = 7500 Let the amount obtained from advertising is "A" then
(7500 - A) - (7600) = 25% of 7500
A= 1975
