NumericalReasoningTest2 Solutions

Numerical Reasoning
Test 2
Solutions Booklet
Instructions
This practice test contains 30 questions, and you will have 30 minutes to answer
them.
Each question will have four possible answers, one of which is correct.
Calculators are permitted for this test. It’s recommended to have some rough paper
for your calculations. You will have to work quickly and accurately to perform well in
this test. If you don’t know the answer to a question, leave it and come back to it if
you have time.
Try to find a time and place where you will not be interrupted during the test. When
you are ready, turn to the next page and begin.
Q1 How much did the combined revenue from Slot machines and
Roulette differ from that of Other table games between 2006-
2009 inclusive (in £millions)?
Answer:
(D) 0.92
Step 1: Calculate the totals for Slot machines, Roulette, Other table games
Slot machines = 1.3 + 1.4 + 1.8 + 1.5 = 6
Roulette = 0.8 + 0.6 + 0.6 + 0.7 = 2.7
Other table games = 4.4 + 4.2 + 4.5 + 4.8 = 17.9
Step 2: Calculate the difference
17.9 – 6 – 2.7 = 9.2
Step 3: Put into £millions = 0.92
Thus, the correct answer is (D) 0.92
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Q2 What was the average amount gambled on Slot machines in
2007 by each individual who attended Calewall casino?
Answer:
(E) £0.09
Step 1: Amount gambled/No of people = 140,000 / 1,520,000 = £0.09

Thus, the correct answer is (E) £0.09

Q3 There is a £15 entrance fee for each person gambling at
Calewall casino. In which year, or years, was the entrance fee
revenue less than £23 million?
Answer:
(A) 2006, 2007
Step 1: Calculate the entrance fee revenue for each year, as follows:
Attendances Entrance fee revenue

2006 1,460,000 x 15 = £21,900,000
2007 1,520,000 x 15 = £22,800,000
2008 1,630,000 x 15 = £24,450,000
2009 1,680,000 x 15 = £25,200,000
Thus, the correct answer is (A) 2006, 2007

Q4 What will be the average annual change in attendance at
Calewall casino across the years 2006-2010 if the 2010
prediction proves to be accurate?
Answer:
(D) 47,500 increase
Step 1: Calculate the yearly change in attendance

2007 = 0.6 increase
2008 = 1.1 increase
2009 = 0.5 increase
2010 prediction = 0.3 decrease
Step 2: Calculate the average yearly change in attendance

(0.6 + 1.1 + 0.5 – 0.3) / 4 = 0.475 (100,000s) = 47,500
Thus, the correct answer is (D) 47,500 increase

Q5 Calewall casino is subject to a takeover bid of 7 times its 2010
projected casino revenues. The Board responds that it can
deliver 10% added value through cost-cuttings to this purchase
price. What valuation is the Board putting on Calewall casino (in
£ millions)?
Answer:
(C) £4.85 million
Step 1: 2010 projected casino revenues = 4.7 + 1.1 + 0.5 = 6.3

6.3 x 7 = 44.1
44.1 x 110% = 48.51 (£100,000s)
Thus, the correct answer is (C) £4.85 million

Q6 If the 2010 prediction proves to be accurate, what is the
average annual percentage change in Teala Media’s R&D
spend across the 5 years shown?
Answer:
(D) 0.56
Step 1: Calculate the average

(2.6 + 1.6 -1.8 - 0.8 + 1.2) / 5 = 0.56
Thus, the correct answer is (D) 0.56

Q7 What is the R&D spend projected to be for 2010?
Answer:
(A) £2.5 million
Step 1: Calculate the total R&D spends per project for 2009 (given in the table):
Addition of 5 projects = 2,483.4 (£1000’s)
Step 2: From the graph we see that the 2010 predicted change in R&D spend is
+1.2% in the 2009 value. So add the 1.2%:
2,483,400 x 101.2% = £2.51 million
Thus, the correct answer is (A) £2.5 million

Q8 What was the R&D spend for 2008 (to the nearest £1,000)?
Answer:
(C) £2,503,000
Step 1: Total R&D spend for 2009 is obtained from the table.
Addition of 5 projects = 2,483.4 (£1000’s) = £2,483,400. You may still have this
number from your previous notes.
Note 1: Notice that the graph gives “change in R&D spend compared with previous
year”. So in 2009 the change compared to 2008 was -0.8% from the graph. It is NOT
the difference between -1.8% and -0.8% (i.e. +1.0%).
Note 2: To get the correct percentage calculation think about a 0.8% drop from the
2008 figure to the 2009 figure. We would say [2008 figure] x 0.992 = [2009 figure].
We have calculated the 2009 figure to be £2,483,400 so by rearranging we can find
2008.
Step 2: Allow for the 0.8% decrease in R&D spend for 2009 compared with 2008
£2,483,400 ÷ 0.992 = £2,503,427
Step 3: To the nearest £1000
Thus, the correct answer is (C) £2,503,000

Q9 R&D overheads were 12% of R&D spend in 2009. If R&D
overheads are projected to rise by 1.1% between 2009 and
2010, what is the 2010 predicted R&D sum left after these
overheads are taken in to account?
Answer:
(D) £2.21 million
Step 1: Total R&D spend in 2009 was £2,483.4 (thousands). So £2,483,400.

Step 2: R&D overheads we are told are 12% of spend so 12% x £2,483,400 =
£298,008.
Step 3: The graph tells us that the R&D spend in 2010 is projected to increase by
1.2%. This will be £2,483,400 x 1.012 = £2,513,200.8.
And we are told in the question that the R&D overheads are expected to increase by
1.1%. This will be £298,008 x 1.011 = £301,286.1.
Step 4: So the available R&D money left after overheads is (2,513,200.8 –
301,286.1) = £2,211,914.7.
Thus, the correct answer is (D) £2.21 million

Q10 If delays at the end of 2009 resulted in a 2.5% increase in the
cost of each of the two most expensive projects, what is the
total R&D spend for 2009 (to the nearest £1,000)?
Answer:
(B) £2,527,000
Step 1: Add the additional 2.5% R&D charge for the two most expensive R&D
projects for 2009
2010 additional New product development spend = 1056 x 0.025 = 26.4
2010 additional Process improvement systems spend = 672.8 x 0.025 = 16.82
Step 2: Calculate Total R&D spend for 2009
Total R&D spend = 425.9 + 672.8 + 215.5 + 1,056 + 113.2 + 26.4 + 16.82 =
£2,526,620
Thus, the correct answer is (B) £2,527,000

Q11 What is the number of shares not held by Directors of Leutts (as
of 30 April 2009)?
Answer:
(A) 25,620
The data you need is in both the pie-chart and the table.
Step 1: The pie-chart shows that 16% of Directors hold shares, so 100 – 16 = 84%
do not hold shares
Step 2: Calculate the total number of director shares at 30 April 2009
Director At 30 April 2009
Geoffrey Yates 1,050
Tobey Gilham 950
Susan Preddy 820
Samantha Hoxton 1,100
Trudy Stupples 960
Total = 4,880
Step 3: Calculate 84%
16% = 4,880
84% = 4,880 x 84 / 16 = 25,620
Thus, the correct answer is (A) 25,620.

Q12 Which Director has bought or sold the largest number of shares
across the 2-month period shown?
Answer:
(B) Trudy Stupples
Step 1: The largest number of shares can be found by calculating the differences in
shareholdings between the periods 1st April – 30 April and 30 April – 31st May.
Director At At 30 Shares At 30 At 31st Shares Total Shares

1st April Dealt April May Dealt Dealt
April 2009 over 2009 2009 over
2009 period period
Geoffrey 1,100 1,050 50 1,050 910 140 50 + 140 =
Yates 190
Tobey 1,050 950 100 950 820 130 100 + 130 =
Gilham 230
Susan 950 820 130 820 250 570 130 + 570 =
Preddy 700
Samantha 990 1,100 110 1,100 550 550 110 + 550 =
Hoxton 660
Trudy 1,200 960 240 960 2,400 1,440 240 + 1,440 =
Stupples 1,680
Thus, the correct answer is (B) Trudy Stupples

Q13 If Tobey Gilham sells half of his shareholding at 31 May 2009 at
£45 per share, how much is this trade worth?
Answer:
(C) £18,450
Step 1: From the table, Tobey Gilham holds 820 shares at 31 May 2009
820 / 2 = 410 shares at £45 per share
£45 x 410 = £18,450
Thus, the correct answer is (C) £18,450

Q14 Which of the following statements is true?
Answer:
The largest Director share dealing was 1,440 shares
Step 1: Go through checking whether each answer option is true or false

Note 1: Current employees and Directors owned 37% of Leutts shares on 30 April
2009 – not 40%. FALSE
Note 2: The largest Director share dealing was 1440 shares which Trudy Stupples
bought between 30 April – 31st May. TRUE
Note 3: Directors held 4,880 shares in total on 30 April 2009 – not 4870 shares.
FALSE
Note 4: Trudy Stupples held the most shares of any Director on 1st April 2009 – not
Tobey Gilham. FALSE
Note 5: Each Director does not have less shares on 31 May 2009 compared to 1st
April 2009 – Trudy Stupples has more shares. FALSE
Thus, the correct answer is (B) “The largest Director share dealing was 1440 shares”

Q15 If Leutts shares are worth £52 on 30 April 2009, then what is
the share valuation of the entire company?
Answer:
(D) £1,586,000
Step 1: Total number of Director shares = 4,880

This represents 16% of the total shares
So, 100% = 4880 x 100 / 16 = 30,500
Company share valuation = 30,500 x £52 = £1,586,000
Thus, the correct answer is (D) £1,586,000

Q16 The total number of £400,000 Apline houses sold in 2009
represented 80% of the annual sales target. If this target was
split equally across 5 salerooms, what was the individual sales
target for each salesroom?
Answer:
(C) 125
Step 1: Total £400,000 house sales = 230 + 270 = 500 houses

Step 2: 500 = 2009 target (5 salesrooms) x 80% / 100
2009 target (5 salesrooms) = 500/0.8 = 625
Step 3: 2009 target per salesroom = 625/5 = 125
Thus, the correct answer is (C) 125

Q17 Stamp duty of 3% is paid on house sales over £250,000. How
much stamp duty is paid by purchasers of Apline houses in
2009?
Answer:
(C) £19,425,000
Step 1: Calculate the total number of houses where stamp duty is due
£300,000 houses: 460 + 490 = 950
£400,000 houses: 230 + 270 = 500
£500,000 houses: 150 + 175 = 325
Step 2: Calculate the stamp duty due
950 x £300,000 x 3% = £8,550,000
500 x £400,000 x 3% = £6,000,000
325 x £500,000 x 3% = £4,875,000
Total = £19,425,000
Thus, the correct answer is (C) £19,425,000

Q18 What is the total value of 2009 Apline house sales?
Answer:
(A) £777.5 million
Step 1: Calculate the total house sales for each half-year period, as follows;
Jan to June July to Dec Total Sales

Price 2009 2009 (£million)
£200,000 310 340 130
£300,000 460 490 285
£400,000 230 270 200
£500,000 150 175 162.5
777.5
Thus, the correct answer is (B) £777.5 million

Q19 In 2010, Apline house sales between Jan-June remain the
same as those in 2009, while the sales for the July-Dec period
increase by a fifth. What is the difference in Apline house sales
between July-Dec 2010 and Jan-June for 2010 (in £million)?
Answer:
(E) 125.6
Step 1: Calculate the total sales for Jan to June:

£200,000 x 310 = £62,000,000
£300,000 x 460= £138,000,000
£400,000 x 230 = £92,000,000
£500,000 x 150 = £75,000,000
£62,000,000 + £138,000,000 + £92,000,000 + £75,000,000 = £367,000,000
Step 2: Calculate the total sales for July to Dec and apply the increase of a fifth:
£200,000 x 340 x 1.2 = £81,600,000
£300,000 x 490 x 1.2 = £176,400,000
£400,000 x 270 x 1.2 = £129,600,000
£500,000 x 175 x 1.2 = £105,000,000
£81,600,000 + £176,400,000 + £129,600,000 + £105,000,000 = £492,600,000
Step 3: Calculate the total difference between the two periods:
£492,600,000 - £367,000,000 = £125,600,000
Thus, the correct answer is (E) 125.6

Q20 A marketing drive is to be used to increase the value of Jan-
June house sales to the value of July-December house sales. If
each £ spent on marketing results in £3 of increased sales,
what value must be spent on marketing?
Answer:
(E) £14.5 million
Step 1: Calculate the difference between the value of Jan-June house sales and the
value of July-December house sales. This sum in millions is:
6 + 9 + 16 + 12.5 = 43.5 million.
Step 2: Calculate the marketing spend needed
43.5 / 3 = 14.5 (million).
Thus, the correct answer is (E) £14.5 million

Q21 If the sales projections for next year prove accurate, which
region will have maintained or increased sales levels each year
from the previous year to next year?
Answer:
(A) Northern region
Step 1: Calculate the regional sales for the current year using the table.
Step 2: Compare the numbers from Step 1 to the figures for the previous year and
for next year, as follows;
Previous Next Year's

Region Year Current year Projection
Northern 310 310 320
Southern 170 160 165
Eastern 290 300 275
Western 255 280 270
Central 110 90 125
Only the Northern region has maintained sales at 310 for the previous and current
year, as well as projecting an increase in sales to 320 for next year.
Thus, the correct Answer is (A) Northern region

Q22 What is the absolute difference between the lowest and the
highest performing region (to the nearest £million) in the current
year?
Answer:
(E) £220 million
Step 1: Calculate the difference between the highest regional sales (Northern) and
the lowest regional sales (Central)
310 – 90 = £220 million
Thus, the correct Answer is (E) £220 million

Q23 If next year’s forecasts are scaled back by a quarter for the
Northern and Western region, and by a fifth for the Southern
and Eastern regions, what will be the total projected sales for all
5 regions?
Answer:
(C) £919.50 million
Step 1: Calculate the new regional sales for the 4 regions affected and sum these,
as shown in the table below:
Region Next Year's Projection New Projection

Northern 320 x 3/4 = 240
Southern 165 x 4/5 = 132
Eastern 275 x 4/5 = 220
Western 270 x 3/4 = 202.5
Central 125 125
TOTAL 919.50
Thus, the correct Answer is (C) £919.50 million

Q24 What were the ratios for the Central: Eastern regional sales for
the Previous Year compared to the Current Year?
Answer:
(D) 11:29 (Previous Year); 3:10 (Current Year)
Step 1: Put the Previous Year’s sales for these regions into a ratio
110:290
Step 2: Put the Current Year’s sales for these regions into a ratio
90:300
Step 3: Simplify these ratios by dividing by the highest common denominator
11:29 for Previous Year (after division by 10)
3:10 for Current Year (after division by 30)
Thus, the correct answer is (D) 11:29 (Previous Year); 3:10 (Current Year)

Q25 Put the regions in increasing order of total combined sales for
the current year and next year’s projection
Answer:
(A) Central, Southern, Western, Eastern, Northern
Step 1: Calculate the totals for each region, as follows:
Current Year Next Year Total

Northern 310 320 630
Southern 160 165 325
Eastern 300 275 575
Western 280 270 550
Central 90 125 215
Thus, the correct answer is (A) Central, Southern, Western, Eastern, Northern

Q26 In which year (or years) was there more than a 3.3% difference
in the GDP per person for France compared to the UK?
Answer:
(D) 2008, 2005
Step 1: Calculate the % difference as shown in the table below:
Year UK France Difference % Difference

2005 22000 23500 1500 6.82
2006 23250 23250 0 0.00
2007 23750 23000 -750 -3.16
2008 23000 24000 1000 4.35
2009 24000 24500 500 2.08
Thus, the correct answer is (D) 2008, 2005

Q27 Which of the following statements is false?
Answer:
(C) “The 2005-2009 range of UK GDP per person is £23,500-£24,500.”
Step 1: Go through each of the answer options checking if it is true or false:
a) Is True
b) Germany’s GDP (3.1) is over 20% higher than the France’s GDP (2.4).
TRUE
c) From the graph, France’s GDP per person ranges from £23,500 to
£24,500, not the UK’s. So this is FALSE.
d) The average GDP per country for the 5 countries shown is
(2.05 + 2.4 + 3.1 + 1.4 + 1.95) / 5 = 2.18 TRUE
e) The lowest and highest GDP per person are £20,500 and £25,700
respectively. TRUE
Thus, the False answer is (C) “The 2005-2009 range of UK GDP per person is
£23,500-£24,500.”

Q28 Which two countries had the smallest difference in GDP per
person in 2009?
Answer:
(A) UK, Italy
Step 1: From looking at the table Country Gross Domestic Product there is only a
0.4 difference in GDP per person between the UK (24.0) and Italy (23.6)
Thus, the correct answer is (A) UK, Italy

Q29 Of those shown, between which years were the GDPs per
person increasing in both France and the UK?
Answer:
(A) 2008-2009
Step 1: Look at the direction of the lines representing the UK and France (on the line
graph). For both the France and the UK to be increasing the lines need to both be
pointing upwards. This is only true for 2008-2009.
Thus, the correct answer is (A) 2008-2009

Q30 What was the average GDP per person for France and the UK
across the 5 years shown?
Answer:
(E) £23,650 (France); £23,200 (UK)
Step 1: Calculate the average as shown in the table below:
Year UK France
2005 22000 23500
2006 23250 23250
2007 23750 23000
2008 23000 24000
2009 24000 24500
TOTAL 116000 118250
AVERAGE 23200 23650
Thus, the correct answer is (E) £23,650 (France); £23,200 (UK)

End of test


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Numerical Reasoning

Copyright AssessmentDay. Copying or distribution in printed,

Step 1: Amount gambled/No of people = 140,000 / 1,520,000 = £0.09

Copyright AssessmentDay. Copying or distribution in printed,

Attendances Entrance fee revenue

Thus, the correct answer is (A) 2006, 2007

Copyright AssessmentDay. Copying or distribution in printed,

Step 1: Calculate the yearly change in attendance

Step 2: Calculate the average yearly change in attendance

Thus, the correct answer is (D) 47,500 increase

Copyright AssessmentDay. Copying or distribution in printed,

Step 1: 2010 projected casino revenues = 4.7 + 1.1 + 0.5 = 6.3

Thus, the correct answer is (C) £4.85 million

Copyright AssessmentDay. Copying or distribution in printed,

Step 1: Calculate the average

Thus, the correct answer is (D) 0.56

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Copyright AssessmentDay. Copying or distribution in printed,

Copyright AssessmentDay. Copying or distribution in printed,

Step 1: Total R&D spend in 2009 was £2,483.4 (thousands). So £2,483,400.

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Director At At 30 Shares At 30 At 31st Shares Total Shares

Thus, the correct answer is (B) Trudy Stupples

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Step 1: Go through checking whether each answer option is true or false

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Step 1: Total number of Director shares = 4,880

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Step 1: Total £400,000 house sales = 230 + 270 = 500 houses

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Jan to June July to Dec Total Sales

Thus, the correct answer is (B) £777.5 million

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Step 1: Calculate the total sales for Jan to June:

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Previous Next Year's

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Region Next Year's Projection New Projection

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Step 1: Calculate the totals for each region, as follows:

Current Year Next Year Total

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Step 1: Calculate the % difference as shown in the table below:

Year UK France Difference % Difference

Thus, the correct answer is (D) 2008, 2005

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Step 1: Go through each of the answer options checking if it is true or false:

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Step 1: Calculate the average as shown in the table below:

Thus, the correct answer is (E) £23,650 (France); £23,200 (UK)