If a department makes a profit of 30% on turnover of £85,000, what percentage profit can be expected if overheads increase by £10,000 but other factors remain unchanged?
A - 5%
B - 10%
C - 14%
D - 18%
e - 25%
please explain, this is the last q on a practice psychometric test I am doing fot tomorrow and its got me flummoxed!! i am sure its straight forward?
D
30% of £85k is £25.5k.
Increase in costs of £10k means profit is £15.5k.
£15.5k is ~18% of £85k
30% of 85000 = 25500.
Overheads increase by 10000 so your profit = 25500 - 10000 = 15500.
15500 / 85000 = 18%
f - 42%
18%
ahh, gotcha, I think I have been at these too long, my brain is mush.
85 * 0.3 = 25.5
25.5 - 10 = 15.5
15.5 / 85 = 0.18
D
Edited to say never respond to a maths question on STW unless you're sure you opened the thread immediately after it was posted!
Yes