New Click here to Enroll for SIDBI MSME Expert Class by ex-GM, SBI on Nov 24

    Register

    Question

    A real estate investor owns three properties: X, Y, and Z. What is the total profit earned from these properties after selling them?

    Statements:

    I: Property X was purchased for $250,000 and sold for $350,000. Property Y was purchased for $300,000 and sold for $450,000. Property Z was purchased for $200,000 and sold for $280,000.

    II: The investor incurred selling costs amounting to 5% of the selling price for each property.

    III: The investor's total investment across all properties was $800,000, and the selling prices of all

    properties combined were $1,200,000.

    A Only Statement I alone is sufficient. Correct Answer Incorrect Answer
    B Only Statement II alone is sufficient. Correct Answer Incorrect Answer
    C Only Statement III alone is sufficient. Correct Answer Incorrect Answer
    D Statements I and II together are sufficient. Correct Answer Incorrect Answer
    E All statements together are needed. Correct Answer Incorrect Answer

    Solution

    Statement I: Profit from Property X = $350,000 - $250,000 = $100,000. Profit from Property Y = $450,000 - $300,000 = $150,000. Profit from Property Z = $280,000 - $200,000 = $80,000. Total profit = $100,000 + $150,000 + $80,000 = $330,000. Sufficient. Statement II: This affects the profit calculations but does not provide enough data without knowing the selling prices to apply the costs accurately. Not sufficient. Statement III: This gives the total investment and selling prices but does not detail individual profits or costs, making it insufficient on its own. Not sufficient. The answer is A.

    Practice Next