XAT 2018 Question Paper | Business Decision Making

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Question 4 : Two years after the handing over, Sudarshan was concerned that none of the companies, except one, is profitable.

Which of the following information, if true, will most likely reduce Sudarshan's concerns?

1. A leading financial institution recently advised its investors to purchase the shares of the two loss making companies with a long term outlook.
2. The Corporation's performance was stagnant for three years, before Sudarshan handed it over to professionals.
3. The best performing division belongs to an industry, which is growing in double digits.
4. People holding senior positions have been replaced two years ago by fresh and young talent.
5. The rate at which employees are leaving the best performing division is higher than the industry average.

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Video Explanation

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Explanatory Answer

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Choice A is the correct answer.

 

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