CAT 2025 Slot 3 · DILR · Question 14

CAT 2025 Slot 3 previous year question on Caselet Based DI, with the answer and a step-by-step solution.

Caselet Based DIDATA INTERPRETATION -High LevelType in the answer (TITA)Medium

Set 4: Trade Among Pumpland, Xiland and Cheeseland — this question belongs to a set. Read the full set with all 5 questions →

Three countries — Pumpland (P), Xiland (X) and Cheeseland (C) — trade among themselves and with the (other countries in) Rest of World (ROW). All trade volumes are given in IC (international currency). The following terminology is used:

• Trade balance = Exports - Imports

• Total trade = Exports + Imports

• Normalized trade balance = Trade balance / Total trade, expressed in percentage terms

The following information is known.

1. The normalized trade balances of P, X and C are 0%, 10%, and -20%, respectively.

2. 40% of exports of X are to P. 22% of imports of P are from X.

3. 90% of exports of C are to P; 4% are to ROW.

4. 12% of exports of ROW are to X, 40% are to P.

5. The export volumes of P, in IC, to X and C are 600 and 1200, respectively. P is the only country that exports to C.

How much is exported from C to X, in IC?

Answer & solution

Answer: 48

P is the only exporter to C, so C's imports = 1200.

C's normalized balance is −20%: (E − I) ÷ (E + I) = −0.2, so E − 1200 = −0.2(E + 1200), giving 1.2E = 960 and E = 800.

C exports 90% to P (720) and 4% to ROW (32), so the remaining 6% goes to X: 6% of 800 = 48.

Shortcut: a normalized balance of −20% means exports : imports = 0.8 : 1.2 = 2 : 3, so exports = 1200 × 2/3 = 800.

Hence, the answer is 48.

CAT 2025 Slot 3 · DILR · Question 14

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