CAT 2025 Slot 3 · DILR · Question 18

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 LevelMultiple choiceMedium

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.

Which among the countries P, X, and C has/have the least total trade?

  1. A

    Only X

  2. B

    Only C

  3. C

    Both X and C

  4. D

    Only P

Pick an option, then check.
Answer & solution

Answer: Option C

Total trade = exports + imports.

P: 2000 + 2000 = 4000.

X: exports 0.55 × 2000 = 1100, imports 0.45 × 2000 = 900; total 2000.

C: exports 800, imports 1200; total 2000.

X and C tie for the least total trade.

Shortcut: X's total is 0.55S + 0.45S = S = 2000, the same as C's 800 + 1200.

Hence, the answer is option 3.

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