1. A company's total expenditure is 1.2 Crore. The expenditure is divided as: Salaries (30%), Raw Materials (35%), Marketing (15%), R&D (10%), and Others (10%). If the expenditure on Marketing increases by 20% and Salaries decrease by 10%, what is the new ratio of Marketing expenditure to Salary expenditure?
A) 1 : 2B) 3 : 5C) 2 : 3D) 4 : 5
✓ Correct Answer: Option C
Explanation: <h4>Solution:</h4>
Original Salary = 30% of 1.2 Cr = 0.36 Cr.<br>
Original Marketing = 15% of 1.2 Cr = 0.18 Cr.<br>
New Marketing = $0.18 \times 1.20 = 0.216$ Cr.<br>
New Salary = $0.36 \times 0.90 = 0.324$ Cr.<br>
New Ratio = $\frac{0.216}{0.324} = \frac{216}{324} = \frac{2}{3}$.<br>
Final Answer: 2:3 (Index 2).