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Salary percentage increase

CAT 2019 Slot 2 · Quantitative Ability · Medium · Ratio & proportion

This is a medium Quantitative Ability question from the CAT 2019 Slot 2 paper. It tests Ratio & proportion. The full answer key and a step-by-step explanation are below — try it yourself first, then reveal the solution.

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The salaries of Ramesh, Ganesh and Rajesh were in the ratio 6:5:7 in 2010, and in the ratio 3:4:3 in 2015. If Ramesh's salary increased by 25% during 2010-2015, then the percentage increase in Rajesh's salary during this period is closest to

  1. A.

    7

  2. B.

    9

  3. C.

    8

  4. D.

    10

Answer

A

Explanation

Let 2010 salaries be 6x,5x,7x6x, 5x, 7x. Ramesh's salary in 2015 =6x×1.25=7.5x= 6x \times 1.25 = 7.5x.

The ratio of 2015 salaries is 3:4:33 : 4 : 3. Since Ramesh's share corresponds to 3 parts =7.5x= 7.5x, 1 part =2.5x= 2.5x. Thus, Rajesh's 2015 salary (3 parts) =7.5x= 7.5x.

Percentage increase in Rajesh's salary: 7.5x−7x7x×100%=0.57×100%=507%≈7.14%\frac{7.5x - 7x}{7x} \times 100\% = \frac{0.5}{7} \times 100\% = \frac{50}{7}\% \approx 7.14\% This is closest to 7.

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