CAT 2002 Question Paper Question 74

Instructions

The following table shows the revenue and expenses in millions of Euros (European currency) associated with REPSOL YPF company’s oil and gas producing activities in operations in different parts of the world for 1998-2000.

Question 74

If efficiency is defined as the ratio of revenue to expenses, which operation was the least efficient in 2000?

Solution

Efficiency = $$\frac{revenue}{expenses}$$

In 2000, except Rest of the world, all the other operation have an efficiency of greater than 1.

Efficiency of Rest of the Worls = $$\frac{20}{33}$$, which is the least.



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