It is not mentioned that the company has only 2 divisions. There are chances that other division might have led to some profits. Can you please explain it?

phram = 1/5 $, 2/5 profit .. 1$/2 profit
chem = 4/5 $, 3/5 profit .. 4$/3 profit

(A) Total dollars sales for each of the company's divisions have remained roughly constant.
could be true, but we don't know concrete amounts

(B) The pharmaceuticals division has faced stiffer competition in its markets than has the chemicals division.
new information about competition

(C) The chemical division has realized lower profits per dollars of sales than has the pharmaceuticals division.
3/4 vs. 2/1 profit to dollar, must be true

(D) The product mix offered by each of the company's divisions has remained unchanged.
new information about products

(E) Highly profitable products accounted for a higher percentage of the chemicals division's sales than of the pharmaceuticals division's.
new information about products

A company's two divisions performed with remarkable consistency over the past three years: in each of those years, the pharmaceuticals division has accounted for roughly 20 percent of dollars sales and 40 percent of profits, and the chemicals division for the balance.

Regarding the past three years, which of the following can properly be inferred from the statement above?

(A) Total dollars sales for each of the company's divisions have remained roughly constant.

We should not take the performance of the two divisions of the company to mean the total dollar sales are consistent. The passage specifically states that the consistency is found in terms of sales/profit split over the last three years.

(B) The pharmaceuticals division has faced stiffer competition in its markets than has the chemicals division.

This is erroneous in general ...lower sales is not necessarily indicative of stiffer competition. That aside, the passage doesn't give us any clues about what competition is like - stiff or not stiff.

(C) The chemical division has realized lower profits per dollars of sales than has the pharmaceuticals division. Correct
1 dollar sales : 2 dollar profit <---- Pharma division
4 dollar sales: 3 dollar profit <----- Chemical division

(D) The product mix offered by each of the company's divisions has remained unchanged.

Nothing about product mix.

(E) Highly profitable products accounted for a higher percentage of the chemicals division's sales than of the pharmaceuticals division's.

We don't know this.
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