Step 1 — Recall the total angle in a pie chart:
A pie chart always represents a whole circle. A full circle has 360 degrees.
So, every percentage share of expenditure is represented by a proportional angle of the circle.
Step 2 — Recall the percentage for paper cost:
From the pie chart data, Paper Cost = 10% of the total expenditure.
Step 3 — Formula to convert percentage to angle:
Angle for a sector = (Percentage ÷ 100) × 360°.
Step 5 — Interpret the result:
This means that the slice of the pie chart representing Paper Cost will subtend an angle of 36 degrees at the center of the circle.
This is a relatively small sector compared to others like Editorial Content Development (30% = 108°) or Printing (24% = 86.4°).
But it is still larger than Transportation (4% = 14.4°) and Miscellaneous (2% = 7.2°).
Final Answer:
The correct option is (B): 36 degrees.
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Question: 2
For a given issue of the magazine, the 2% of the cost is Rs. 2,000 and the print-run is 12,500 copies. What should be the sale price if the publisher desires a profit of 5 percent?
Step 1 — Understand the given data carefully:
We are told:
• Miscellaneous expenses = 2% of the total cost.
• This 2% corresponds to Rs. 2,000.
• Print-run (number of copies) = 12,500.
• Desired profit = 5%.
We are required to find the selling price per copy.
Step 2 — Find the total cost of the magazine issue:
If 2% of the total cost = Rs. 2,000,
then 100% of the total cost = (2000 ÷ 2) × 100.
= 100,000.
So, Total cost of the issue = Rs. 1,00,000.
Step 3 — Cost per copy (without profit):
Total cost = Rs. 1,00,000.
Number of copies = 12,500.
Cost per copy = 100,000 ÷ 12,500 = Rs. 8.
Step 4 — Add profit margin of 5%:
Profit per copy = 5% of 8 = (5/100) × 8 = 0.40.
So, Selling price per copy = Cost per copy + Profit per copy.
= 8 + 0.40 = Rs. 8.40.
Step 5 — Interpretation:
This ensures the publisher recovers the total production cost of Rs. 1,00,000 plus an additional 5% profit on the entire issue.
Hence, by setting the sale price per copy at Rs. 8.40, the publisher meets both cost recovery and profit goals.
Final Answer:
The correct option is (D): Rs. 8.40.
