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A man buys a truck for Rs. 2,50,000. The annual repair cost comes to 2% of the price of purchase. Besides, he has to pay an annual tax of Rs. 2000. At what monthly rent must he rent out the truck to get a return of 15% on his net invests of the first year?
Answer & Solution
Correct Answer:
Option
D
The total cost for the year
= 250000 + 2% of 2500000 + 2000
= Rs. 257000 For getting return of 15% he must earn
= $$\frac{{257000 \times 15}}{{100}}$$
= Rs. 38550 per year Then, Monthly Rent
= $$\frac{{38550}}{{12}}$$
= Rs. 3212.5
= 250000 + 2% of 2500000 + 2000
= Rs. 257000 For getting return of 15% he must earn
= $$\frac{{257000 \times 15}}{{100}}$$
= Rs. 38550 per year Then, Monthly Rent
= $$\frac{{38550}}{{12}}$$
= Rs. 3212.5
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