Question

The following table gives the population and total income of a city for four years:

Year	1992	1993	1994	1995
Population in lakhs	20	21	22	23
Income in crores Rs.	1010	1111	1225	1345

Which one of the following statements is correct in respect of the above data?

1. Population increased by 5% or more every year.
2. Income increased by 10% or more every year.
3. Per capita income was always above Rs. 5,000.
4. Per capita income was highest in 1994

Answer 1

Correct Answer - Option 3 : Per capita income was always above Rs. 5,000.

Concept used:

Per capita income = (Total income)/(Total population)

Calculation:

Statement 1) Population increased by 5% or more every year

For year 1992 - 1993

(1/20) × 100 = 5%

For year 1993 - 1994

(1/21) × 100 = 4.76 %

So, this statement is incorrect.

Statement 2) Income increased by 10% or more every year

For year 1992 - 93

(101/1010) × 100 = 10%

For year 1993 - 94

(114/1111) × 100 = 10.26%

For year 1994 - 95

(120/1225) × 100 = 9.79%

So, this statement is also incorrect

Statement 3) Per capita income was always above Rs. 5,000

Per capita income = (Total income)/(Total population)

For 1992, (1010 crore/20 lakh) = 5050

For 1993, (1111 crore/21 lakh) = 5290.47

For 1994, (1225 crore/22 lakh) = 5568.18

For 1995, (1345 crore/23 lakh) = 5847.82

So, this statement is correct

Statement 4) Per capita income was highest in 1994

For 1994, (1225 crore/22 lakh) = 5568.18

No, the highest per capita income is in 1995

So, this statement is also incorrect

∴ The option (3) is correct.