Let's break down the problem to find the combined percentage profit or loss for companies A and B in the year 2021. We are given the Income and Expenditure for each company and the formula to calculate the percentage profit or loss.

The formula provided for percent profit or loss is:

\(\text{(Profit/Loss) %} = \frac{\text{(Income - Expenditure)}}{\text{Expenditure}} \times 100\)

Analyzing Combined Income and Expenditure for Companies A and B

To find the combined profit or loss for companies A and B together, we first need to calculate their total combined income and total combined expenditure.

• Combined Income of A and B:
  Income of Company A = 35 million Rs.
  Income of Company B = 50 million Rs.
  Total Combined Income = Income of A + Income of B = \(35 + 50 = 85\) million Rs.
• Combined Expenditure of A and B:
  Expenditure of Company A = 45 million Rs.
  Expenditure of Company B = 40 million Rs.
  Total Combined Expenditure = Expenditure of A + Expenditure of B = \(45 + 40 = 85\) million Rs.

Calculating Combined Profit or Loss

Now, let's find the combined profit or loss for companies A and B. Profit or Loss is calculated as Income minus Expenditure.

• Combined Profit/Loss for A and B:
  Combined Profit/Loss = Total Combined Income - Total Combined Expenditure
  Combined Profit/Loss = \(85 - 85 = 0\) million Rs.

Since the result is 0, the combined income equals the combined expenditure for companies A and B.

Calculating Combined Percentage Profit or Loss

Using the given formula, let's calculate the percentage profit or loss for companies A and B together:

\(\text{Combined (Profit/Loss) %} = \frac{\text{(Total Combined Income - Total Combined Expenditure)}}{\text{Total Combined Expenditure}} \times 100\)

\(\text{Combined (Profit/Loss) %} = \frac{(85 - 85)}{85} \times 100\)

\(\text{Combined (Profit/Loss) %} = \frac{0}{85} \times 100\)

\(\text{Combined (Profit/Loss) %} = 0 \times 100\)

\(\text{Combined (Profit/Loss) %} = 0\%\)

A percentage profit/loss of 0% means there was no profit and no loss. The combined income exactly matched the combined expenditure.

Conclusion

Based on the calculations, the companies A and B together had a percentage profit/loss of 0%, which means there was no loss or profit.

Revision Table: Key Calculations

Additional Information: Understanding Profit and Loss

In business, understanding profit and loss is crucial. Here’s a simple explanation:

• Income: This is the money a company earns from its operations, like selling goods or services.
• Expenditure: This is the money a company spends to run its operations, such as salaries, rent, raw materials, etc.
• Profit: When Income is greater than Expenditure. This means the company earned more than it spent. Profit = Income - Expenditure (when Income > Expenditure).
• Loss: When Expenditure is greater than Income. This means the company spent more than it earned. Loss = Expenditure - Income (when Expenditure > Income).
• No Profit, No Loss (Break-even): When Income equals Expenditure. The company earned exactly what it spent.

The percentage calculation helps to understand the profit or loss relative to the money spent (Expenditure), providing context about the efficiency of the company's spending.