Question

The unit price of product P1 is non-increasing and that of product P2 is decreasing. Which product will be costlier 5 years hence?
I. Current unit price of P1 is twice that of P2.
II. 5 years ago, unit price of P2 was twice that of P1.

• A. if the question can be answered with the help of statement I alone
• B. if the question can be answered with the help of statement II alone
• C. if both statement I and statement II are needed to answer the question
• D. if the statement cannot be answered even with the help of both the statements

Hint:

In price comparison over time, knowing only initial and past ratios is not enough — you need future rate information.

Answer 1

The Correct Option is D

From Statement I: We know that at present, P1’s price is twice P2’s price. However, since P1 is non-increasing (could remain constant or decrease) and P2 is decreasing, this alone does not tell us their relative rates of change. Even if P2 decreases faster, P1 may still be costlier in 5 years, or if P1 decreases faster, the positions may reverse. Hence, insufficient.
From Statement II: We know that 5 years ago, P2’s price was twice P1’s price. But again, without knowing the exact rate of decrease or whether P1’s price changed in that period, we cannot determine the present scenario or the situation 5 years ahead. Hence, insufficient.
Combining both: Even though we know relative prices now and 5 years ago, without knowing exact rates of change for the future 5 years, we cannot conclude which will be costlier. Many possibilities exist — for example, if P2 decreases sharply in the next 5 years, P1 could still be costlier; but if P1 drops drastically and P2 decreases slowly, P2 might become costlier. Therefore, the answer cannot be determined even with both statements.