Consider the question: “How was the sale of the company ABC?” and the following statements. Statement 1: The company ABC sold 75,000 units of soaps, each at Rs 70. Statement 2: ABC has no other products in the production line. Decide which statement or combination of statements is sufficient to answer the question.

Difficulty: Medium

Correct Answer: Statement 1 alone is sufficient, while statement 2 alone is not sufficient.

Explanation:


Introduction / Context:
This is a data sufficiency question about the sales of a company. The question How was the sale of the company ABC? is typically interpreted in such problems as asking about total sales revenue for a period, not about vague ideas like good or bad. You are given two statements and must decide which of them provides enough information to determine the sales figure, without necessarily computing it in the exam.


Given Data / Assumptions:

  • Question: How was the sale of the company ABC? (interpreted as What was the total sales value?)
  • Statement 1: The company ABC sold 75,000 units of soaps, each at Rs 70.
  • Statement 2: ABC has no other products in the production line.
  • Task: Determine which statement(s) are sufficient to answer the question.


Concept / Approach:
To compute sales revenue, you need the quantity sold and the unit price. Statement 1 directly gives both for the company’s only mentioned product, soap. If this is the only product sold during the relevant period, revenue is simply quantity times price. Statement 2 merely tells you that there are no other products in production, but says nothing about quantities sold or prices. Data sufficiency questions focus on whether you could in principle compute, not on actually doing the multiplication.


Step-by-Step Solution:
Step 1: From Statement 1, we know that 75,000 units were sold and that each unit was sold for Rs 70.Step 2: Total sales revenue from soaps is therefore 75,000 * 70. Even if we do not explicitly multiply, it is clear that the total sales value can be uniquely determined from this information.Step 3: Thus, Statement 1 alone is sufficient to answer the question in the sense required by data sufficiency.Step 4: Statement 2 says that ABC has no other products in the production line.Step 5: Knowing only that there are no other products does not tell us how many units of soap were sold or at what price. Thus we cannot determine sales revenue from Statement 2 alone.Step 6: Combining Statement 2 with Statement 1 does not add new numerical information beyond what Statement 1 already provides, so Statement 1 remains sufficient by itself.Step 7: Therefore, the correct conclusion is that Statement 1 alone is sufficient, while Statement 2 alone is not.


Verification / Alternative check:
Ask yourself: Could the company have made any sales from other products in the period if Statement 1 were true but Statement 2 were false? Yes, hypothetically it could. However, the question as set usually treats Statement 1 as describing total sales because no other products or sales figures are mentioned. Even if there were other minor products, the test format assumes that the only relevant sales detail is the soap sales given. Statement 2 simply confirms that no other revenue stream exists, but this confirmation is not required to compute the sales from soaps. Hence Statement 1 remains sufficient.


Why Other Options Are Wrong:

  • Option a is wrong because Statement 2 is not needed to determine the sales value when Statement 1 already provides quantity and price.
  • Option b is wrong because Statement 2 alone gives no numerical sales data.
  • Option d is wrong because it ignores the completeness of Statement 1.
  • Option e is wrong because Statement 2 alone is clearly insufficient.


Common Pitfalls:

  • Overcomplicating the question How was the sale? and treating it as a vague qualitative question rather than about sales figures.
  • Thinking that you must know there are no other products before calculating sales, even when complete numerical data for the mentioned product is given.
  • Confusing what is necessary in real life accounting with what is necessary in the simplified data sufficiency context.


Final Answer:
Statement 1 alone is sufficient, while statement 2 alone is not sufficient to answer the question about the sales of company ABC.

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