Alligation or Mixture - General Aptitude

Q1:

In what ratio must water be mixed with milk to gain 16% on selling the mixture at cost price?

A 1 : 6

B 6 : 1

C 2 : 3

D 4 : 3

ANS:A - 1 : 6

Let C.P. of 1 litre milk be Re. 1.

S.P. of 1 litre of mixture = Re.1, Gain = 50 %.
3
C.P. of 1 litre of mixture = 100 x 3 x 1 = 6
350 7
By the rule of alligation, we have:
C.P. of 1 litre of water C.P. of 1 litre of milk
0 Mean Price
Re. 6
7
Re. 1
1
7
6
7
Ratio of water and milk = 1 : 6 = 1 : 6.
7 7