ANSWER CHOICE ANALYSIS
Choice A: The results of the company’s cost-cutting measures are evident in its profits, which increased five percent during the first three months of this year after it fell over the last two years.
This choice has pronoun-antecedent number error as.

Choice B: The results of the company’s cost-cutting measures are evident in its profits, which had increased five percent during the first three months of this year after it had fallen over the last two years.
This choice has verb tense error. The verb tense “had increased” is written incorrectly in past perfect tense. The two events in the past are – falling of profits & increase in profits. The increase in profits is the later event. Thus, expressing it in past perfect tense is incorrect. Expressing the earlier event in past tense is correct – had fallen.

Also, this choice has pronoun-antecedent number error as in Choice A.

Choice C: The results of the company’s cost-cutting measures are evident in its profits, which have increased five percent during the first three months of this year after falling over the last two years.
No error. In this sentence, the use of present perfect tense is justified since this tense presents an event that started in the past and whose effect is still valid in the present time frame. Furthermore, in this sentence, the second event “it fell” has been converted into a modifier that modifies the verb “have increased”. The modifier – after falling over the last two years – presents the sequencing for the verb “have increased” as intended.

Choice D: The results of the company’s cost-cutting measures are evident in its profits, with a five percent increase during the first three months of this year after falling over the last two years.
This choice has modifier error. The modifier “with a five percent increase” non-sensically modifies the preceding clause. Per the intended meaning, it should modify the preceding noun – profits.

Choice E: The results of the company’s cost-cutting measures are evident in its profits, with a five percent increase during the first three months of this year after having fallen over the last two years.
This choice has modifier error as in Choice D. It also uses unnecessarily passive verb tense – having fallen.

Thus, Choice C is the correct answer.

Hello yash321,

I will be glad to help you with you this one.

Errors in Choice B:

1. Verb Tense Error: The verb tense had increased is written incorrectly in past perfect tense. The two events in the past are – falling of profits and increase in profits. The increase in profits is the later event. Thus, expressing it in past perfect tense is incorrect. Expressing the earlier event in past tense is correct – had fallen.

2. Pronoun-Antecedent Number Error: The singular pronoun it has been used to refer to plural noun profits.


Errors in Choice D:

1. Modifier Error: The modifier with a five percent increase non-sensically modifies the preceding clause. Per the intended meaning, it should modify the preceding noun – profits.


Hope it helps.
Thanks.
Shraddha
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A,B - "It" is referring to plural "profits"
D,E - The subjects is "results"
Distorts the meaning that the results fall over last 2 years not profits.

Hence, C is the answer.
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