Question
A shaving set company sells 4 different types of razors, Elegance, Smooth, Soft and Executive. Elegance sells at Rs. 48, Smooth at Rs. 63, Soft at Rs. 78 and Executive at Rs. 173 per piece. The table below shows the numbers of each razor sold in each quarter of a year.
| Quarter \ Product | Elegance | Smooth | Soft | Executive |
|---|---|---|---|---|
| Q1 | 27300 | 20009 | 17602 | 9999 |
| Q2 | 25222 | 19392 | 18445 | 8942 |
| Q3 | 28976 | 22429 | 19544 | 10234 |
| Q4 | 21012 | 18229 | 16595 | 10109 |
Which product contributes the greatest fraction to the revenue of the company in that year?
Official answer and solution
- Official answer
- B
- From
- Official GATE 2016 answer key
Solution
Calculate total units sold and annual revenue for each of the four products.
Calculate the total units sold across the four quarters for each razor:
- Elegance: units
- Smooth: units
- Soft: units
- Executive: units
Multiply total units sold by unit selling price to find total annual revenue for each product:
- Elegance:
- Smooth:
- Soft:
- Executive:
Comparing revenues, Executive generates approximately Rs. 6.80 million, which is strictly greater than all other products.
Therefore, Executive contributes the greatest fraction to the company's total revenue.
B
Looking only at the unit volume sold and choosing Elegance (102,510 units), ignoring the much higher unit price of Executive (Rs. 173).
The answer is the one in the official GATE answer key. The solution is this site's own explanation.
Source
- Paper
- GATE 2016 Computer Science and Information Technology (CS) Session 1
- Question
- 6 of 65, printed as GA Q.6
- Section
- General Aptitude
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