CAT 2025 Slot 3 · DILR · Question 16
CAT 2025 Slot 3 previous year question on Caselet Based DI, with the answer and a step-by-step solution.
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 ROW to ROW, in IC?
Answer & solution
Answer: 1008
With S = 2000, ROW's exports R = 1.95 × 2000 − 1800 = 2100.
ROW exports 12% to X, 40% to P and nothing to C (only P exports to C), so the remaining 48% stays within ROW.
ROW → ROW = 48% of 2100 = 1008.
Shortcut: 100% − 12% − 40% = 48% of ROW's exports go to ROW itself.
Hence, the answer is 1008.
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