IIFT 2009 Question Paper

Total automobile production in the year 2004 = 800+500+475 = 1775

Total automobile production in the year 2005 = 700+550+450 = 1700

Total automobile production in the year 2006 = 1025+675+475 = 2175

Total automobile production in the year 2007 = 1200+650+475 = 2325

Total automobile production in the year 2008 = 1250+600+350 = 2200

We can see that production decreased only twice during the given period in the year 2005 and 2008.

Hence, the percentage decrease in the year 2005 over the year 2004 = $$\dfrac{1775-1700}{1775}\times 100$$ = 4.225 percent.

Similarly, the percentage decrease in the year 2008 over the year 2007 = $$\dfrac{2325-2200}{2325}\times 100$$ = 5.376 percent.

Therefore, we can say that option D is the correct answer. 

Total automobile production exported in the year 2004 = (800+500+475)-(700+450+300) = 325

Total automobile production exported in the year  2005 = (700+550+450)-(675+500+350) = 175

Total automobile production exported in the year  2006 = (1025+675+475)-(900+625+400) = 250

Total automobile production exported in the year  2007 = (1200+650+475)-(1050+600+375) = 300

Total automobile production exported in the year  2008 = (1250+600+350)-(975+550+350) = 325

From the data itself we can see that highest growth occurred in the year 2006. 

Therefore, we can say that option B is the correct answer. 

Total commercial vehicles sold from the year 2004 to 2008 = 450+500+625+600+550 = 2725

Total passenger vehicles sold from the year 2004 to 2008 = 700+675+900+1050+975 = 4300

Total three wheelers sold from the year 2004 to 2008 = 300+350+400+375+350 = 1775

Hence, the percent of earnings is contributed by commercial vehicle segment alone = $$\dfrac{5*2725}{5*2725+3*4300+2*1775}\times 100$$ = 45.30 % $$\approx$$ 45%.

Hence, option A is the correct answer. 

Total domestic sales of automobiles in the year 2004 = (700+450+300) = 1450

Total domestic sales of automobiles in the year  2005 = (675+500+350) = 1525

Total domestic sales of automobiles in the year  2006 = (900+625+400) = 1925

Total domestic sales of automobiles in the year  2007 = (1050+600+375) = 2025

Total domestic sales of automobiles in the year  2008 = (975+550+350) = 1875

Average domestic sales of automobiles for the given period = $$\dfrac{1450+1525+1925+2025+1875}{5}$$ = 1760.

Hence, we can say that the domestic sales in the year 2008 is the closest to the average domestic sales. Hence, option D is the correct answer.

Total domestic sales of automobiles in the year 2004 = (700+450+300) = 1450

Total domestic sales of automobiles in the year  2005 = (675+500+350) = 1525

Total domestic sales of automobiles in the year  2006 = (900+625+400) = 1925

Total domestic sales of automobiles in the year  2007 = (1050+600+375) = 2025

Total domestic sales of automobiles in the year  2008 = (975+550+350) = 1875

We can see that the automobiles sales rose by the highest amount in the year 2006 as compared to other years. Also, the base is relatively smaller for remaining year except 2004. But the absolute growth is much higher in the year 2006 as compared to the year 2005. Hence, option B is the correct answer. 

Total automobile production in the year 2004 = 800+500+475 = 1775

Total automobile production in the year 2005 = 700+550+450 = 1700

Total automobile production in the year 2006 = 1025+675+475 = 2175

Total automobile production in the year 2007 = 1200+650+475 = 2325

Total automobile production in the year 2008 = 1250+600+350 = 2200

Total domestic sales of automobiles in the year 2004 = (700+450+300) = 1450

Total domestic sales of automobiles in the year  2005 = (675+500+350) = 1525

Total domestic sales of automobiles in the year  2006 = (900+625+400) = 1925

Total domestic sales of automobiles in the year  2007 = (1050+600+375) = 2025

Total domestic sales of automobiles in the year  2008 = (975+550+350) = 1875

In the year 2005 and 2008 the production and sales respectively are not increasing absolutely. Hence, we will check only for the year 2006 and 2007. 

The ratio between absolute increase in domestic sales in the year 2006 over the year 2005 and absolute increase in production in the year 2006 over the year 2005 = $$\dfrac{1925-1525}{2175-1700}$$ = 0.84

Similarly, the required ratio for year 2007 = $$\dfrac{2025-1925}{2325-2175}$$ = 0.66

Hence, we can say that the ratio is the highest for the year 2006. Therefore, option B is the correct answer.

As the numbers are far apart we can approximate the money allocation data to the nearest multiple of 0.5. The money allocation data can be approximated as below. 

Let us assume that Rs. 100 is invested in each fund. 
Total return on investing Rs. 100 in fund Alpha =
1.5*1.05+3*1.12+7*.95+1.5*1.15+7.5*1.11+10*1.21
+9*1.08+26*1.06+14.5*1.25+6*1.18+4.5*1.10+5.5*.98+4*1.17 = Rs. 111.24.

Hence, net return per rupee in fund Alpha = $$\dfrac{111.24}{100}$$ = Rs. 1.1124.

Similarly, we can calculate total return on investing Rs. 100 in fund Beta and Gama.

Net return per rupee in fund Beta = $$\dfrac{107.225}{100}$$ = Rs. 1.07225.

Net return per rupee in fund Gama = $$\dfrac{109.48}{100}$$ = Rs. 1.0948. 

We can see that return per rupee is the highest for Alpha fund. Hence, option A is the correct answer. 

Let us tabulate the ranks of various sectors according to fund allocation.

Statement I : Automobile is ranked by both Alpha and Beta as same. This statement is incorrect. 

Statement II : Financial is most favoured by all three Mutual Funds. This statement is incorrect as Energy sector is most favored by fund Gama. 

Statement III : Services is ranked by all three Mutual Funds within top 9 ranks. We can see that this statement is correct. Hence, option D is the correct answer. 

As the numbers are far apart we can approximate the money allocation data to the nearest multiple of 0.5. The money allocation data can be approximated as below. 

Total return on investing Rs. 100 in fund Gama =
5*1.12+4*.95+6*1.15+9.5*1.11+20.5*1.21+15.5*1.08
+17*1.06+2*1.25+3*1.18+10*.92+4*1.1+3.5*.98 = Rs. 109.48.

Hence, total return of an investment of 10 lakhs in fund Gama after a year = $$\dfrac{109.48}{100}*10$$ = 10.948 lakhs $$\approx$$ 10.95 lakhs.
Hence, option B is the correct answer. 

Jowar's yield in the year 2007 = $$\dfrac{368}{673}$$ $$\approx$$ 0.55

Soyabean's yield in the year 2008 = $$\dfrac{799}{650}$$ $$\approx$$ 1.23

Hence, the required ratio = 0.55 : 1.23 = 0.445 : 1 or 0.89: 2.00

Therefore, option C is the correct answer.