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Sajjad1994
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Sajjad or Bunuel can you please explain the second part of the question.
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Sajjad1994
Data Insights (DI) Butler 2023-24 [Question #70, Date: Oct-25-2023] [Click here for Details]

The following graph compares the 5-year annualized return for 15 mutual funds with the 3-year annualized return for the same funds. The solid line is the line of best fit.

Attachment:
132.jpg

The fund for which the ratio of 5-year return to 3-year return was largest had a 3-year return of approximately .

The highest 3-year return for any fund exceeds the 5-year returns of funds.

Show SpoilerAdditional Question
The median 3-year return is approximately ____________.

(A) 5.8%
(B) 6.4%
(C) 7.5%
(D) 8.5%
(E) 10.0%

Answer: C

[url=https://gmatclub.com/forum/the-following-graph-compares-the-5-year-annualized-return-for-15-mutua-420500.html]Question #1 based on the same graph is available here
­Can i get an expert reply for the second question please?
My interpretation was that we need to pick the funds which fall below the y=x line since for a higher 3 year return we need x>y.
I must have made an error in interpreting the question since it clearly isn't among the answer choices.
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For 2 - I just checked the fund with the highest 3 year return. The point is approximately at (15.5,15.5). Once I identified this point - I just counted the number of funds with 5 year returns less than 15% - which comes up to 10 funds.
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vedika.vyas
For 2 - I just checked the fund with the highest 3 year return. The point is approximately at (15.5,15.5). Once I identified this point - I just counted the number of funds with 5 year returns less than 15% - which comes up to 10 funds.


That makes a lot of sense but then shouldn’t the question be framed something like “The highest 3-year return *among all* funds exceeds the 5-year returns of ___ funds.”

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Could someone please provide an explanation for the first one? The second one was easier to crack.

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MaxBlack11
Could someone please provide an explanation for the first one? The second one was easier to crack.

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Just find out for which of the Mutual Funds (Represented as points on the graph) is y/x the highest.
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Ami0Trafalgar

vedika.vyas
For 2 - I just checked the fund with the highest 3 year return. The point is approximately at (15.5,15.5). Once I identified this point - I just counted the number of funds with 5 year returns less than 15% - which comes up to 10 funds.

That makes a lot of sense but then shouldn’t the question be framed something like “The highest 3-year return *among all* funds exceeds the 5-year returns of ___ funds.”

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­Yeah. Definitely agree the framing was confusing 
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Not the best wordings, one would expect in a question. I would recommend looking for better questions and not wasting time on the question.
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Milli19
Sajjad1994
Explanation for question 2 please


The final dot in the 3 year return is the highest and there are 10 funds lower than that return

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can someone explain part 1 please?
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First, we need to find the highest 3-year fund according to the x-axis. Then, we count this 3-year percentage exceeds how many 5-year fund returns according to the y-axis.
Hopefully this reply helps.
Milli19
Sajjad1994
Explanation for question 2 please
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