CAT 2022 Question Paper (Slot 2) - LRDI Question 12


The two plots below show data for four companies code-named A, B, C, and D over three years - 2019, 2020, and 2021.

The first plot shows the revenues and costs incurred by the companies during these years. For example, in 2021, company C earned Rs.100 crores in revenue and spent Rs.30 crores. The profit of a company is defined as its revenue minus its costs

The second plot shows the number of employees employed by the company (employee strength) at the start of each of these three years, as well as the number of new employees hired each year (new hires). For example, Company B had 250 employees at the start of 2021, and 30 new employees joined the company during the year.

Question 12

Which of the four companies experienced the highest annual loss in any of the years?


For all the companies in all three years, cost incurred is less than Revenue except for D in 2020.

Revenue is 20 and cost incurred is 50

Company D experienced the highest annual loss in 2020.

The answer is option D.

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