The following table shows the Income (in ₹ lakh) and percentage (%) profit of…

2023

The following table shows the Income (in ₹ lakh) and percentage (%) profit of a company over the six years from 2017 to 2022. Based on the data in the table:

Year-wise Income and Profit of a Company

Year

Income (in ₹ lakh)

Profit (%)

2017

120

7.5

2018

160

15

2019

130

22.5

2020

170

17.5

2021

190

20

2022

150

27.5

The positive increase in percent profit in comparison to the previous year was minimum in the year

Answer: C. 2021CONCEPTA year-on-year change in a percentage is measured in percentage points: change = current-year percentage − previous-year percentage. When the question…

  1. A.

    2018

  2. B.

    2020

  3. C.

    2021

  4. D.

    2022

Show answer & explanation

Correct answer: C

CONCEPT

A year-on-year change in a percentage is measured in percentage points: change = current-year percentage − previous-year percentage.

When the question asks for a positive increase, keep only changes greater than zero.

APPLICATION

  1. 2018: 15 − 7.5 = +7.5 percentage points.

  2. 2019: 22.5 − 15 = +7.5 percentage points.

  3. 2020: 17.5 − 22.5 = −5 percentage points.

  4. 2021: 20 − 17.5 = +2.5 percentage points.

  5. 2022: 27.5 − 20 = +7.5 percentage points.

CROSS-CHECK

Year

Positive change (percentage points)

2018

+7.5

2019

+7.5

2021

+2.5

2022

+7.5

The minimum positive change is +2.5 percentage points, occurring in 2021.

Result: 2021.

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