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30 Jan 2025, 01:39
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Company E had the highest profit in all three years.: True
Company C's profit margin decreased every year from 2021 to 2023.: True
The company with the fewest employees in 2021 had the lowest revenue.: True
The table below shows the financial performance of five companies (A, B, C, D, and E) over three years. It includes revenue (in millions of dollars), profit margin (as a percentage), and the number of employees.
For each of the following statements, select True if the statement can be verified to be true based on the information provided. Otherwise, select False.
| Company | 2021 Revenue | 2021 Profit Margin | 2021 Employees | 2022 Revenue | 2022 Profit Margin | 2022 Employees | 2023 Revenue | 2023 Profit Margin | 2023 Employees |
|---|---|---|---|---|---|---|---|---|---|
| A | 500 | 10% | 1,000 | 550 | 12% | 1,050 | 600 | 15% | 1,100 |
| B | 300 | 8% | 800 | 320 | 9% | 820 | 350 | 10% | 850 |
| C | 700 | 15% | 1,200 | 750 | 14% | 1,250 | 800 | 13% | 1,300 |
| D | 400 | 12% | 900 | 420 | 11% | 950 | 450 | 10% | 1,000 |
| E | 600 | 20% | 1,100 | 650 | 18% | 1,150 | 700 | 16% | 1,200 |
For each of the following statements, select True if the statement can be verified to be true based on the information provided. Otherwise, select False.
| True | False | |
| Company E had the highest profit in all three years. | ||
| Company C's profit margin decreased every year from 2021 to 2023. | ||
| The company with the fewest employees in 2021 had the lowest revenue. |
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Official Answer
Company E had the highest profit in all three years.: True
Company C's profit margin decreased every year from 2021 to 2023.: True
The company with the fewest employees in 2021 had the lowest revenue.: True
30 Jan 2025, 01:40
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Official Solution:
Statement 1:
Profit = Revenue * Profit Margin. Observe that we don’t need to calculate the profit for all companies in all years. By quickly glancing through the numbers, we can identify which companies could potentially have the highest profit based on their high revenue and high profit margin. This allows us to save time by focusing only on the most likely candidates.
In this case, Company C and Company E stand out as having both high revenue and high profit margins. Calculating these confirms that E had the highest profits in all three years. Thus, this statement is True.
Statement 2:
To evaluate this statement, check Company C's profit margin trends over the three years:
2021: 15% → 2022: 14% → 2023: 13%.
The profit margin consistently decreased each year. Thus, this statement is True.
Statement 3:
In 2021, the company with the fewest employees was Company B (800 employees). Additionally, Company B had the lowest revenue ($300M) among all companies in the same year. Since both conditions are satisfied, this statement is True.
Correct answer:
Company E had the highest profit in all three years. "True"
Company C's profit margin decreased every year from 2021 to 2023. "True"
The company with the fewest employees in 2021 had the lowest revenue. "True"
Bunuel
Statement 1:
Profit = Revenue * Profit Margin. Observe that we don’t need to calculate the profit for all companies in all years. By quickly glancing through the numbers, we can identify which companies could potentially have the highest profit based on their high revenue and high profit margin. This allows us to save time by focusing only on the most likely candidates.
In this case, Company C and Company E stand out as having both high revenue and high profit margins. Calculating these confirms that E had the highest profits in all three years. Thus, this statement is True.
Statement 2:
To evaluate this statement, check Company C's profit margin trends over the three years:
2021: 15% → 2022: 14% → 2023: 13%.
The profit margin consistently decreased each year. Thus, this statement is True.
Statement 3:
In 2021, the company with the fewest employees was Company B (800 employees). Additionally, Company B had the lowest revenue ($300M) among all companies in the same year. Since both conditions are satisfied, this statement is True.
Correct answer:
Company E had the highest profit in all three years. "True"
Company C's profit margin decreased every year from 2021 to 2023. "True"
The company with the fewest employees in 2021 had the lowest revenue. "True"
01 Oct 2025, 17:50
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I don’t quite agree with the solution. For Question 2 profit margin = Revenue* Profit % ;
So therefore the profit margin for Company C
Year 1 would be 15% of 700 = 105.
In the same manner Year 2 would be 14% of 700 = 105 .
Therefore they have broke even for the 2ndy year wrt to 1st year. \
In Year 3 in the same manner above profit would be 104.
Therefore we can conclusively say that profit margin did not decrease each year.
Or either the question should have mentioned it as profit % rather then profit margin. Plesae confirm on this
So therefore the profit margin for Company C
Year 1 would be 15% of 700 = 105.
In the same manner Year 2 would be 14% of 700 = 105 .
Therefore they have broke even for the 2ndy year wrt to 1st year. \
In Year 3 in the same manner above profit would be 104.
Therefore we can conclusively say that profit margin did not decrease each year.
Or either the question should have mentioned it as profit % rather then profit margin. Plesae confirm on this
