Question

Raman buys potatoes at Rs. 6, Rs. 8 and Rs. 10 per kg for three successive years. What is the average cost per kg of potatoes if he spends Rs. 1500 each year approximately?
1. Rs. 7.71
2. Rs. 6.17
3. Rs. 7.66
4. Rs. 6.71

Answer 1

Correct Answer - Option 3 : Rs. 7.66

Given∶

Raman buys potatoes at Rs. 6, Rs. 8 and Rs. 10 per kg for three successive years.

Money spend on potatoes each year = Rs. 1500

Formula Used∶

Average = Sum of observations / Number of observations

Calculation∶

Total quantity of potatoes consumed in 3 successive years = Rs. [(1500 / 6) + (1500 / 8) + (1500 / 10)] = Rs. [1500 × {1 / 6 + 1 / 8 + 1 / 10}] = 1500 × (47 / 120) = Rs. (70500 / 120)

Total amount spent = Rs. (1500 × 3) = Rs. 4500

Average cost = (4500) / (70500 / 120) = Rs. 7.66

∴ the average cost is Rs. 7.66 per kg of potatoes.