Question

The difference in the average percentage increase in revenues, from 4th to 6th year, of Yahoo and Facebook is:

• A. 93%
• B. 80%
• C. 65%
• D. 50%

Answer 1

The correct option is A 93%

Revenue of Yahoo in 6th year = 1200
Revenue of Yahoo in 4th year = 250
So, percentage increase $=\left(\frac{950}{250}\right)\times 100=380\%$
Average percentage increase $=\frac{380}{2}=190\%$
Revenue of Facebook in 6th year = 2000
Revenue of Facebook in 4th year = 300
So, percentage increase $=\frac{1700}{300}\times 100=566$
Average increase $=\frac{566}{2}=283\%$
Difference in average percentage increase = 283 - 190 = 93%.