Question

It is given that Imports - Exports = x for company A in 1993 and the imports of company A in 1993 were Rs. 3.6 crore. It is also given that Imports - Exports = a for company B in 1997 and the exports of company B in 1997 were Rs. 5 crore. What is the relationship between a and x?

• A. x > a
• B. x = a
• C. a > x
• D. Can’t be determined
• E. None of these

Answer 1

The correct option is C

a > x

$\begin{array}{c}\frac{I_{93}\left(A\right)}{E_{93}\left(A\right)}=0.6\\ \therefore E_{93}\left(A\right)=\frac{3.6}{0.6}=6crore\\ \therefore x=3.6-6=-2.40crore\\ Again,\frac{I_{97}\left(B\right)}{E_{97}\left(B\right)}=1.2\\ \therefore I_{97}\left(B\right)=1.2\times 5=6crore\\ \therefore a=6-5=1crore\\ Hence,a>x.\end{array}$