Question

If the incomes of Company A and B are in the ratio of 5:6, and the income of Company B is 160% of its expenditure, then what is the difference between the income of Company B and the income of Company A?

(a) 100
(b) 120
(c) 140
(d) 160

Answer 1

To find the difference between the income of Company B and the income of Company A, we can assume the income of Company A as 5x and the income of Company B as 6x. Using the given information that the income of Company B is 160% of its expenditure, we can calculate the value of x and find the difference.

Step-by-step explanation:

To find the difference between the income of Company B and the income of Company A, we first need to determine the incomes of both companies. Let's assume the income of Company A is 5x and the income of Company B is 6x, where x represents the common ratio. We are given that the income of Company B is 160% of its expenditure. This means the income of Company B is 1.6 times its expenditure.

Equating the income of Company B to 1.6 times its expenditure, we have: 6x = 1.6 * expenditure of Company B.

Simplifying the equation, we get: expenditure of Company B = (6x/1.6).

Therefore, the difference between the income of Company B and the income of Company A is: (income of Company B - income of Company A) = (6x - 5x) = x.