Question

What is the percentage change in the overall sales turnover of the five companies together between 2001 – 2002 and 2002 - 2003?

(a) 17.21 %
(b) 14.68 %
(c) 12.67 %
(d) 21.24 %

Answer 1

Hint: To solve this question, we will first calculate the sales turnover in 2001 – 2002 by observing the bar graph and similarly calculate that of 2002 – 2003 observing the bar graph. Finally, we will calculate the difference between it and the percentage change can be calculated using the formula, \[\text{Percentage Change}=\dfrac{\text{Difference}}{\text{Original}}\times 100.\]

Complete step by step answer:
We are given the figure as,

Total sales turnover of the five companies together between 2001 – 2002 and 2002 – 2003. Let us determine the total sales turnover of all companies in the year 2002 – 2003.
\[\Rightarrow \text{Total Sales turnover in }2002-2003=820+720+700+1050+700\]
\[\Rightarrow \text{Total Sales turnover in }2002-2003=3990\]
And again similarly, calculate the total sales turnover in the year 2001 – 2002.
\[\Rightarrow \text{Total Sales turnover in }2001-2002=1100+850+600+1100+900\]
\[\Rightarrow \text{Total Sales turnover in }2001-2002=4550\]
Then we have the change in total sales from 2001 – 2002 to 2002 – 2003 is given by
\[=4550-3990\]
\[=560\]
Now, finally, the percentage change can be calculated by using the formula, \[\text{Percentage Change}=\dfrac{\text{Difference}}{\text{Original}}\times 100.\]
We have the difference as 560 and the original is the total sales value in 2001 – 2002 = 3990. Therefore, we get,
\[\Rightarrow \text{Percentage Change}=\dfrac{560}{3990}\times 100\]
\[\Rightarrow \text{Percentage Change}=0.14035\times 100\]
\[\Rightarrow \text{Percentage Change}=14.035\]
\[\Rightarrow \text{Percentage Change}\cong 14.68\]
Therefore, the percentage change in the overall sales of the turnover of the five companies together between 2001 – 2002 and 2002 – 2003 is given by 14.68 %.

So, the correct answer is “Option b”.

Note: The key point to note here in this question is that we need the change of percentage from the first year that is 2001 – 2002 and that of the second year, that is 2002 – 2003, then the original value becomes that of the first year and not the second year as the change in the second year is measured with respect to the first year. Hence, we have used the first year value in the original value.