I14-06

Question

https://gmatclub.com/gmat-focus-tests/resources/import/img/I14-06.png 
 
Corporation A consists of three distinct divisions: one focused on cosmetics, another on apparel, and the third on accessories. The line graph above illustrates the profit generated by these divisions over a five-year period, measured in thousands of dollars.
 
Select from each drop-down menu the option that creates the most accurate statement, given the information provided.

Based on the available information, the  GRAPH_1_PLACEHOLDER  Division in  GRAPH_2_PLACEHOLDER  had the largest share of total profit in any given year.

Bunuel · Answer

Official Solution:

We need to identify which division's profit accounted for the largest share of the total profit in a particular year.
 
• In 2014, the Apparel Division, with a profit of 40 thousand, accounted for more than 50% of the total profit of 75 thousand.
 
• In 2015, the Cosmetics Division, with a profit of 35 thousand, accounted for approximately 40% of the total profit of 90 thousand.
 
• In 2016, the Cosmetics Division, with a profit of 40 thousand, accounted for approximately 40% of the total profit of 105 thousand.
 
• In 2017, the Apparel Division, with a profit of 50 thousand, accounted for approximately 40% of the total profit of 130 thousand.
 
• In 2018, the Accessories Division, with a profit of 65 thousand, accounted for approximately 40% of the total profit of 165 thousand.
 
Therefore, the Apparel Division accounted for the largest share of the total profit in 2014.

Correct answer:

Dropdown 1:  "Apparel"

Dropdown 2:  "2014"

Bunuel · Answer

I have revised the question, solution, and formatting by adding more details to enhance clarity.

ndwz · Answer

Bunuel  is there a faster way to do this question? i.e. simply look at the points in 2014 and 2018 and then deduce?

Bunuel · Answer

I tried to give an approach that works in my solution - visually checking the graph for the year where one division clearly dominates.

But yes, just looking at 2014 and 2018 might not be enough - since the question asks for  any  year, we need to check all years to be sure.

That's why in the solution, I went through each year and compared the division’s profit share relative to the total.

Sonatomar · Answer

I did not quite understand the solution. I think the largest part of profit would be accessories from 2017 to 2018.
from 45 to 65 units.
Please correct me where i am wrong.

Bunuel · Answer

You're looking at the  growth  in Accessories profit, which is strong from 2017 to 2018 (45 to 65). But the question asks for the largest  share  of total profit in a single year, not the biggest increase.

In 2014:

Apparel made 40 out of a total of 75 
 That’s  over 50% , the highest share any division held in any year

So the correct answer is based on  relative share , not growth.

Jyotsana15 · Answer

I did not quite understand the solution. accounted for more than 50% of the total profit of 75 thousand

where are we getting these percentages from

Bunuel · Answer

The percentage is found by dividing that division’s profit by the total profit of all three divisions in that year.

For 2014:

Accessories = 15
Cosmetics = 20
Apparel = 40

Total profit = 15 + 20 + 40 = 75

Apparel’s share = 40/75 = 53.3...%, which is more than 50%.

I14-06

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