# MTH302 Business Mathematics & Statistics Assignment No 1 Solution Fall 2012

Question # 1

Basic Salary of Sana is Rs 24,000 per month. According to service rules her allowances are some percentage of basic salary whereas other benefits are percentage of Gross Salary. This month, details of her benefits are as follows:

 Benefits Rs. Percent House Rent 10800 Utilities Allowance 2400 Medical/Group insurance 1860 Miscellaneous Social Charges 2232

Find the percentage of each benefit .i.e. What percent of basic or gross salary are these benefits.(Show the calculation).

Gross Earnings
Summary of different components of salary is as follows:
• Basic salary 100 %
• Allowances 50 %
• Gratuity 9.99 %
• Provident Fund 9.99 %
• Social Charges 29 %

house rent=45% of basic salary
utilities allowance=10% of basic salary
medical/group insurance=7.75% of gross salary
misc.social charges=9.3% of gross salary
Question # 2

Mr. Saleem borrowed an amount of Rs 5,00,000. to purchase a car at the rate of % per annum for a period of 7 years and 4 months. Find the amount of simple interest to be paid by Mr. Saleem.

I=P.R.T/100
= 5.5*500000*88/100
= 2,420,000

Or ? mean yearly not monthly
I = 5,00,000 * 7.333 * 5.5 / 100
I = 201657.5

• aimal

give me solution

Ali works in an industrial unit. His basic salary is Rs.20, 000 and allowances are 50% of his basic salary.

His allowed leaves are given below:

· Casual Leave = 18 days per year

· Earned Leave = 18 days per year

· Sick Leave = 12 days per year

(a) What is the cost on account of casual, earned and sick leaves per year if his normal working days per month is 26?

(b) What is the total cost of leaves as percent of gross salary?

(c) What are the leaves cost?

(d) If group insurance/medical is 5% and other social benefits are 5.8%. Then, calculate the total social charges.