Pie Charts
Data Interpretation

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Common Information

ABC Ltd. is a courier company that uses three modes of transport for its services – Air, Rail and Road. The following pie charts show the distribution of the total number of couriers (Chart-1), Revenue Generated (Chart-2) and Total Cost (Chart-3) for the different modes of transport for the year 2006.

Common information image for Pie Charts, Data Interpretation:1644-1

Assume that the only cost involved was that incurred on transport.


Common Information Question: 2/4

Through which mode of transport does ABC Ltd. generate maximum profit in the year 2006?








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Option(D) is correct

Let the Total Cost be $360C$ while the Revenue Generated be $360R$ for ABC Ltd. in the year 2006.

Profit generated by,

Road transport, $= 72R – 72C$

Rail transport, $= 108R – 90C$

Air transport, $= 180R – 198C$

The profit generated is a function of $R$ and $C$ whose value are not known.

So the answer cannot be determined.

(1) Comment(s)


Based on the ratios, we can see that RAIL has clear cut advantage than other two..