Question

The table below represents the combined net income of all United States companies in each of five sectors for the second quarter of 1996. Which sector had the greatest net income during the first quarter of 1996?

Answer Choices:
A. Basic Materials
B. Energy
C. Industrial
D. Utilities
E. Conglomerates​

Answer 1

Answer:

The table below represents the combined net income of all United States companies in each of five sectors for the second quarter of 1996. Which sector had the greatest net income during the first quarter of 1996?

Answer Choices:

A. Basic Materials

B. Energy

C. Industrial

D. Utilities

E. Conglomerates

Answer 2

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• According to the table, net income in the basic materials sector decreased by 26 percent from the first quarter to the second. If x represents the net income in the first quarter, (0.74)x = 4.83, and x = 6.53. The energy sector net income increased by 40 percent. If y represents the net income in the first quarter, (1.40)y = 7.46, so y < 6. The industrial sector changed by only 1 percent to 5.00, so the first quarter value had to be less than 6.53. For utilities, the net income increased about 300 percent, which means that the net income in the first quarter was about 1/4 of 8.57, which is clearly less than 6.53. The conglomerates sector net income the first quarter was less than 2.07, so the basic materials net income was greatest in the first quarter. The best answer is A.