This is a beautiful DS question testing whether you can handle percentage-of-a-total logic without overcomplicating the algebra. The trap most people fall into: they try complicated inequalities when a clean variable assignment makes both statements very manageable.
Let the total cars produced in 2022 = x, and in 2023 = y.
Given: December 2022 = 8% of x = 0.08x. December 2023 = 7% of y = 0.07y.
Question: is y > x?
Key observation: December is a DIFFERENT share of the annual total in each year (8% vs 7%), so December numbers alone can't directly compare totals. You need the non-December months.
Statement (1): In each of the first 11 months of 2023, production was at least 2% higher than the same month in 2022
Non-December 2022 = 92% of x = 0.92x
Non-December 2023 ≥ 1.02 × 0.92x = 0.9384x
Total 2023 = Non-December 2023 + December 2023:
0.93y ≥ 0.9384x (since Non-December 2023 = y − 0.07y = 0.93y)
y ≥ (0.9384 / 0.93)x = 1.0097x > x ✓
y is definitely greater than x. Sufficient.
Statement (2): December 2023 production was more than 88% of December 2022 production
December 2023 > 0.88 × December 2022
0.07y > 0.88 × 0.08x
0.07y > 0.0704x
y > (0.0704 / 0.07)x = 1.00571x > x ✓
Again y is definitively greater than x. Sufficient.
Answer: D — each statement alone is sufficient.
The common trap: the 8% vs 7% December split makes students think you can't compare total production without December numbers directly. Both statements give enough leverage — S1 on non-December months, S2 on December itself. Don't let different percentages scare you; set up the inequality cleanly and it resolves quickly.
Takeaway: In DS questions about totals and sub-percentages, assign variables to the totals (not the parts), then express each statement as an inequality — almost always cleaner than it first appears.