Section A – Quantitative Ability

Answer question nos. 20 – 22 based on the following information

The following graph shows the revenue (in $ million) of three companies in their initial six years of operations, in an economy which is characterised by persistent inflation.

20. In 2010, which could be a valid statement about the revenues (adjusted for inflation) of these three companies?

A. Revenues of all three companies were equal.

B. Revenues of all three companies could be equal.

C. Revenue of Yahoo was definitely less than Facebook which was definitely less than Google.

D. Total of Yahoo and Facebook was definitely higher than of Google.

E. None of the above.

Explanation:

IGNORE as we don’t know which of the given years is 2010

21. The difference in the average percentage increase in revenues, from 4^th to 6^th year, of Yahoo and Facebook is:

A. 35%

B. 40%

C. 45%

D. 50%

E. 55%

Explanation:

The revenue of Yahoo in year 4 = 250 million $.

The revenue of Yahoo in year 6 = 1150 million $

Average percentage increase » 115%

The revenue of Facebook in year 4 = 350 million $

The revenue of Facebook in year 6 = 2000 million $

Average percentage increase » 150%

The difference » 35% Choice (A)

22. What would have been Facebook’s revenue (in $ million) in its sixth year of operation if the company had matched Google’s percentage growth in revenues from the fifth to the sixth year? Choose the option that is nearest to the answer.

A. 1600

B. 1700

C. 1900

D. 2100

E. None of the above.

Explanation:

Google’s percentage growth in revenues from year 5 to year 6 = = 113.33%

Facebook’s revenue, had the growth been 113.33%

= = 1600 Cr. Choice (A)