Data Interpretation Practice Test 1

Directions (37-41): Study the diagram given below and answer the questions that follow it:

Question : 41 of 90

Marks: +1, -0

If in 1969, we keep constant the total revenue generated, total capital investment and net profit as in 1968, then the turnover index in 1970 will read:

6
6.5
7
7.5
None of the above

Validate

Solution:

\table \Growth \rate,1968-69, 1969-70;\Total \revenue ,= (115 - 90)/90 = 0.3 ,= (1 + 0.3) × 115 = 150;\Cash \investment ,= (19- 15)/15 = 0.27,= (1 + 0.27) × 19 = 24;∴ \Turnover \index ,= 150/24= 6

Before solving such question, try to find out the major relation on which the problem is based. As in this case we have (Output = Capacity × Percentage Utilisation)

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