Instructions

The graph below shows the end of the month market values of 4 shares for the period from January to June. Answer the following questions based on this graph.

Question 66

# Ram gives Shyam a share of C and a share of D and takes a share of A in return. What is the maximum loss suffered by Ram from this transaction?

Solution

Loss from the transaction from Ram's standpoint is Sum of share prices of C and D - Share price of A.

So, loss from the transaction at the end of January is (40+60) - 100 - = 0
So, loss from the transaction at the end of February is (50+55) - 90= 15
So, loss from the transaction at the end of March is (60+50)-110 = 0
So, loss from the transaction at the end of April is (65+40) - 105 = 0
So, loss from the transaction at the end of May is (60+45) -100 = 5
So, loss from the transaction at the end of June is (55+45) - 110 = 0

So, the correct answer is 15

• All Quant CAT complete Formulas and shortcuts PDF
• 35+ CAT previous year papers with video solutions PDF