For company R, if the expenditure had increased by 20% in the year 2001 from the year 2000 and company had earned profit of 10% in 2000, the company’s income in year 2000 (in crore).

Answer: Option C

Expenditure in 2001 of R = 45
Expenditure in 2000 of R
$$\begin{array}{rl}& =45\times \frac{100}{120}\\ & =37.5\end{array}$$
The income of company in 2000
$$\begin{array}{rl}& =37.5\times \frac{100}{90}\\ & =41.67\end{array}$$