CAT 2003 Slot 1DILR Question 19

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Passage / Data

Answer the following question based on the information given below.

 Each point in the graph below shows the profit and turnover data for a company. Each company belongs to one of the three industries: textile, cement and steel.

An investor wants to buy stock of only steel or cement companies with a turnover more than 1000 and profit exceeding 10% of turnover. How many choices are available to the investor?

Answer & solution

  • A

    4

  • 5

  • C

    6

  • D

    7

Solution

Out of the seven companies which lie above the line represented by the equation as solved in the first question, two are textile companies.

∴ 5 choices are available to the investor.
 
Hence, option (b).

CAT 2003 Slot 1 DILR Q19: An investor wants to buy stock of only steel or cement companies with a turnover more than 1000 and profit exc — Solution | TheCATExam