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Sprint Series for Quantitative

Aptitude
Comprehensive Revisions with
Detailed Problem Solving
CA Nishant Kumar
 Date Day Topic
05-08-2024 Monday Mathematics for Finance
06-08-2024 Tuesday Logical Reasoning
12-08-2024 Monday Measures of Central Tendency and Dispersion
13-08-2024 Tuesday Ratio, Proportion, Indices, Logarithms
19-08-2024 Monday Sequence and Series
20-08-2024 Tuesday Equations
26-08-2024 Monday Permutations and Combinations
27-08-2024 Tuesday Sets, Relations, and Functions Schedule
02-09-2024 Monday Probability
03-09-2024 Tuesday Theoretical Distributions
09-09-2024 Monday Correlation and Regression
10-09-2024 Tuesday Sampling
Watch the Detailed Strategy Below

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Chapter 1 – Ratio, Proportion, Indices,

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Logarithms
S. Ratio Proportion Indices Logarithms
No.
1. Ratio exists only between Cross Product Rule an = a × a× a × a × 23 = 8 is expressed in terms of
quantities of same kind. a c … × a (n times) Logarithms as log 2 8 = 3. It is read
If = , then ad = bc .
b d as log 8 to the base 2 is 3.
log a 1 = 0

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2. Quantities to be compared must Invertendo 1
a−n =
be in the same units. a c b d an
If = , then = .
b d a c
3. To compare ratios, use Alternendo a0 = 1 loga a = 1
calculator. a c a b d c
If = , then = , or, =
b d c d b a
4. If a quantity increases or Componendo am × an = am+n log a ( mn ) = log a m + log a n
decreases in the ratio a : b, then a c a+b c+d
If = , then = .
new quantity = b of the original b d b d
quantity/a.
The fraction by which the
original quantity is multiplied to

5.

6.
get a new quantity is called the
factor multiplying ratio. (This is
basically unitary method.)
Inverse Ratio – The inverse Dividendo
ratio of a/b is b/a. a c
If = , then
b d
Compound Ratio – The Componendo and Dividendo
multiplication of two or more a c
b
=

a+b c+d
TK
a −b c −d
d
am
an
= a m−n

(a )m n
= a mn = ( a n )
m
m
log a   = log a m − log a n
n

log a ( m n ) = n log a m
If = , then = .
ratios is called compound ratio. b d a −b c −d
The compound ratio of a : b and
c : d is ac : bd.
7. Duplicate Ratio – A ratio Addendo ( ab ) = a nb n
n
log b m
compounded of itself is called a log a m =
a c e log b a
AN
If = = = ... , then each of a an
n
Duplicate Ratio. The duplicate
ratio of a : b is a2 : b2.
b d f   = n
these ratios is equal to b b
a + c + e + ...
, i.e.,
b + d + f + ...
a a + c + e + ...
= ;
b b + d + f + ...
c a + c + e + ...
= ;
d b + d + f + ...
e a + c + e + ...
= .
f b + d + f + ...
SH

Sub-Duplicate Ratio – The Subtrahendo

= ( a m ) n , i.e.,
1
8. m 1
sub-duplicate ratio of a : b is a c e
a n
= log m a
If = = = ... , then each of log a m
( a)
m m
a : b. b d f a n
= n am = n

these ratios is equal to

a − c − e − ...
, i.e.,
b − d − f − ...
a a − c − e − ...
= ;
b b − d − f − ...
c a − c − e − ...
= ;
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d b − d − f − ...
e a − c − e − ...
=
f b − d − f − ...

9. Triplicate Ratio – The aloga n = n

triplicate ratio of a : b is a3 : b3.
10. Sub-Triplicate Ratio – The p
log aq n p = log a n
sub-triplicate ratio of a : b is q
3
a:3b.
CA

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Chapter 2 – Equations
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Concepts at a Glance
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Simple Equations
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• An equation with only one variable with a linear power is known as a Simple
Equation.

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• Try the options to solve the questions.

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Simultaneous Linear Equations in Two Variables

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linear equations. H
• Two equations with two variables with linear power are known as simultaneous

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• Try the options to solve the questions.

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Quadratic Equations
•
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A quadratic equation is an equation in which the highest power of the variables is 2.
•
•
A quadratic equation is of the form ax 2 + bx + c = 0 .

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x is a variable while a, b and c are constants.
• A quadratic equation has two solutions/roots.

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Methods of Solving Quadratic Equations
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There are three methods of solving any quadratic equation:

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1. Factorization Method
2. Quadratic Formula

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Quadratic Formula =
−b  b 2 − 4ac
2a

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 If we call the roots α, and β, then,

=
−b + b 2 − 4ac
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2a
−b − b 2 − 4ac
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=
2a

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Sum of Roots ( +  ) = −
K b

Product of Roots  =
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a

3. Fastest Method
IS H a

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Solve the equation x 2 − 5 x + 6 = 0 using fastest method.
Here, a = 1; b = –5; c = 6

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Sum of Roots = −
b
a
=−
−5
1
=5

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c 6
Product of Roots = = = 6
a 1
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K 5 
Now, take the sum of the roots, divide it by half, and add x to it. You’ll get  + x  .

T 2 

5  N
Similarly, take the sum of the roots, divide it by half, and subtract x from it. You’ll

A
get  − x  . Multiply these two and equate with the product, i.e. 6.

5

2
+ x
 5


− x
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 H
=6
2

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 5
2

  −x =6
2
2

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
25
4
− x2 = 6

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 x2 =
25
4
−6

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

x 2 = 6.25 − 6
x 2 = 0.25
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 x = 0.25
 x = 0.5
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 5  5 
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Now, put the value of x = 0.5 in the factors  + x  , and  − x  . You’ll get the
2  2 
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roots.
5 5
Therefore,  = + 0.5 = 3 ;  = − 0.5 = 2 .
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This method applies to complicated roots as well.

Important Rule
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x 2 − ( +  ) x +  = 0 H
If α and β are the roots of the equation, the equation is given by:

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In other words,

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x 2 − ( Sumof Roots ) x + Product of Roots = 0 .

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Nature of Roots
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We know that the quadratic formula gives us the value of x as follows: M
x=
−b  b 2 − 4ac
.
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2a

dependent on b 2 − 4ac .
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In this formula, the term b 2 − 4ac plays a very important role. The nature of the roots is

N IS
1. If b 2 − 4ac = 0 , the roots are real and equal.
2. If b 2 − 4ac  0 , the roots are real and unequal.

C A a. If b 2 − 4ac is a perfect square, the roots are real, rational, and unequal.

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 3. If b 2 − 4ac  0 , the roots are imaginary and unequal.
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b. If b 2 − 4ac is not a perfect square, the roots are real, irrational, and unequal.

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Since b 2 − 4ac discriminates the roots, it is known as the discriminant.

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Points to be noted –

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1. A real number is a number which can be expressed on a number line. Therefore,

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every number is a real number, including negative numbers.
2. An imaginary number is a number multiplied by a unit “i”, which is identified by its
property i 2 = −1.

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3. An integer is a number without any fractional part. It includes positive as well as

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negative numbers.

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 A R
4. A rational number is a number which can be expressed as a fraction of two integers.
The decimal expansion of a rational number either terminates after a finite number

Examples:
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of digits, or begins to repeat the same finite sequence of digits over and over.

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a. 2 is a rational number as it can be expressed in the form of .

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2
1

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5
b. is a rational number as its decimal expansion 2.5 terminates after a finite
2

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number of digits.

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2
c. is a rational number as its decimal expansion comes to 0.222…, i.e. it begins
9

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 5 2
d. − , − are also rational numbers.
2 9
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5. An irrational number is a number whose decimal expansion either does not
terminate after a finite number of digits or does not repeat itself over and over.
Examples:
K
a.  is an irrational number as its decimal expansion is 3.14159265359…, i.e. it

T
N
neither terminates after a finite number of digits nor does it repeat itself over

A
and over.
b. 2 is an irrational number as its decimal expansion is 1.41421356237…, i.e.

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it neither terminates after a finite number of digits nor does it repeat itself over
and over.

N ( ) (
6. Irrational roots occur in conjugate pairs, i.e. if m + n is a root, then m − n is

A
)

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the other root of the same equation.
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 7. If one root is reciprocal to the other root, then their product is 1 and so
c

A
a R
= 1, i.e.

c = a.

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8. If one root is equal to the other root but opposite in sign, then their sum = 0, i.e.
b
− = 0  b = 0.
a

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Cubic Equations
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equation.

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• An equation with the highest power of the variables as 3 is known as a cubic

• Try the options to solve such an equation.

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 Mathematics for Finance

Simple Interest Compound Interest Applications of Compound Interest Annuity Future Value of Annuity Regular Future Value of Annuity Due Present Value of Annuity Regular Present Value of Annuity Due Perpetuity Nominal Rate of Interest Compounded Annual Growth Rate

CA Nishant Kumar
Meaning Formulas Important Points Meaning Formulas Important Points Depreciation Effective Rate of Interest Difference between CI and SI Meaning Types Formula Question Normal Perpetuity Growing Perpetuity Meaning Formula Question Meaning Calculation Question

Interest P = Principal Interest is Important Important Questions 1) Fixed Annuity Annuity PV of Annuity Due Suppose your mom Meaning Formula Questions Meaning Formula Question Interest Rate Nominal The The average The amount at
accrues calculated NOCPPY = No. of Conversion Periods Per Year Points Amount Regular/ Due/ = Initial Receipt/ decides to gift you without Rate of nominal rate at the beginning Calculate the
only on Simple Interest Amount not only Certain Immediate Payment + PV of ₹10,000 every year taking into Return = rate of which the of the period compounded annual
the i = Rate of on the Questions Application - Sinking Fund Z invests ₹10,000 every year starting Raja aged 40 wishes his wife Rani to Questions Applications Annuity Regular starting from today for consideration Real growth is investment is considered growth rate (CAGR) of
original Interest (in original Amount Rate of Interest NOCPPY The useful A machine is 2) At from today for next 10 years. Suppose have ₹40 lakhs at his death. If his for (n - 1) periods the next five years. You An Ramesh wants A stock A Assuming the effect of Rate of 17% and grows in as Principal, Operating Profit for
Decimal) The difference between C.I and S.I on a Regular year 6 with respect to
Principal Principal, Principal = life of a depreciated at interest rate is 8% p.a. compounded expectation of life is another 30 years deposit this amount in annuity to retire and pays perpetuity, that the inflation Return inflation is every period and the
certain sum of money invested for 3 Intervals year 2 from the
but also Cost of machine is the rate of Meaning Question Amount Amount annually, calculate future value of the and he starts making equal annual a bank as and when you that receive ₹3,000 a annually an where the discount + 9% for the over a amount at the
Derivatives of these Formulas years at 6% p.a. is ₹110.16. The principal following data:
on the Compounded Annually NOCPPY = 1 Machine estimated 20% on is paid/ is paid/ A person Given The Questions annuity. investments commencing now at 3% Appu retires The The Loan Capital Expenditure Net Present Value Leasing Bond Valuation receive and get 10% per lasts month. He amount of amount rate is Inflation five years. specific end of the
t = Time (in is:
interest to be 10 reducing received received invests annuity amount compound interest p.a. how much at 60 years present present annum interest rate forever wants to pass ₹10 from keeps 7% per Rate Let P be period of period is
Years) 3) For a
accrued years and balance. The at the at the ₹500 at the of ₹100 required should he invest annually? receiving a value value of compounded annually. this monthly 6th year growing by annum, the Gross time considered as
Amount = Certain
on it. cost original cost of Ignoring the The effective rate end of beginning end of each amounts from pension of of an ₹10,000 What is the present payment to onwards. a fixed how Domestic Amount; count Operating
Compounded Semi-Annually NOCPPY = 2 Scrap Value Period A sinking A machine Concept Questions Concept Question Concept Question Concept Questions Concept Question
Compound Interest ₹10,000. the machine compounding of of interest Answer - ₹10,000 every of every year with a to the Answer - ₹1,56,454.875 ₹14,400 a annuity due in 2 value of this annuity? future What is percentage much Product the number of Year Profit (₹ in
Rate of was ₹1,00,000 Annually/ Semi- corresponding to a period period bank which ₹3137.12 Sinking fund is costs year paid in of ₹80 a years at generations the in every would (GDP) periods Lakhs)
Amount To convert
depreciation and its Annually/ Quarterly/ nominal rate of 7% pays at 4.5% Fund is created for ₹5,20,000 Answer - ₹84,080 half-yearly years 5% p.a. after his death. present period you pay amount at between these
Rate of Interest Time months Rate of
Compounded Quarterly NOCPPY = 4 is 10% p.a. ultimate scrap Monthly, etc., what p.a. convertible interest at p.a. C. I. the redeeming with an installments for 20 compound He can earn an value of to the amounts, and
into years, Depreciation PV of all A loan of A person Mr. Paul When a A machine with When a Compute the Leasing means A company is ABC Ltd. wants to Bond is a An investor
The scrap value was is the actual rate of quarterly is 10% p.a. The Future debentures estimated for rest of years interest Answer: ₹41,698.70 interest of 8% the receive present then use the
divide the has to be 1 90
value at the ₹30,000. The interest which will C.I. number Value of worth ₹5 life of 25 his life after at 5% when the installments ₹10,000 is to bought a borrows project is useful life of seven project is net present Renting. When you're considering lease out an asset loan intends compounded perpetuity, ₹50, year, then formula for
given written in is equal to be paid back house ₹20,000 on undertaken, years costs ₹10,000 undertaken, value for a willing to take a proposal of costing ₹3,60,000 document purchasing a
end of its effective life of fetch you the annually. of years Annuity lakhs at years. A reckoning his p.a is interest annually. How if the rate growing the calculating
months by Compounded Monthly NOCPPY = 12 negative
life is? the machine is? effective interest in The will be the end of sinking fund Ambiguous life is paid on the Loan in 30 equal paying condition to the present while another the present project with a machine on rent, you purchasing a for a five year which three year much will he of return at 5%, projected Amount of
12 Amount. instalments. ₹20,000 repay it value of all machine with value of all net should compare it machine either period. It has fixed provides ₹1,000 par value 2 100
a year Answer - 7.18% amount 25 years. is created to expectation half- need to set is 20%? annually, real GDP Compound
standing to How much replace it by to be 13 yearly The amount cash down with C.I. at the inflows useful life of five the inflows is investment of with its cost. If the by making full a rental of ₹1,05,000 you interest bond having aside to achieve forever? after 6 Interest. Using
his credit provision a new model years and Answer: basis is of each and 5% p.a. in is compared years costs ₹8,000. compared ₹1,00,000 and cost is more than the payment of per annum payable at the nominal his perpetuity years is? this formula,
Answer - Answer - one year Answer - needs to at 25% Due Wala Hai, Par Solve Regular Ki that ₹997 installment ₹4,000 at annual with the The first machine with the net cash flows Present Value of all ₹4,000 or by annually starting coupon interest rate of goal? calculate the 3 106.4
₹3,486.78 5.4 Years after he 20 Years be made higher cost Tarah Hua Hai interest at to cover the the end of installments present saves labour present value year one is the lease rentals that leasing it for from the end of rate. It is 10%. At what Answer: value of i. This
has made out of after 25 4% p.a. is principal and each year of ₹2000 value of expenses of ₹1,900 of the ₹55,000; for you're going to pay, four years at an first year. Suppose redeemed at price the bond ₹20.1 Answer: is your CAGR.
his yearly profits years with a payable half- Answer: at 4% p.a. CI for 25 yrs. each. The outflows. If annually and the outflows. If year two is then obviously, go for annual rate of rate of interest is the end of may be ₹2,500
Important Questions 4 107.14
investment each year scrap value yearly. What ₹9,061 is: at 5% p.a. number of the PV of second one saves the PV of ₹80,000 and for leasing, otherwise go ₹1,250. Which 14% per annum the period purchased now Answer:
for the provided realization of single sum is C.I. The years for inflows is labour expenses of Inflows is year three is for buying. course of compounded at Par (as if it matures at ₹4,50,000 Answer:
12th time sinking ₹25,000. equivalent cash down the debt to greater ₹2,200 annually. greater than ₹15,000. action is annually on which per your par and the 1.587P
is: fund what amount to his price is be paid off is than the PV Determine the PV of Further, the When you're willing to preferable if money can be syllabus). investor 5 120.24
On what A person opened an account on April, 2001 with a The population of The annual birth The compound Answer: of preferred course of Outflows, the company’s give a machine on the company invested by the The price of requires a rate
investment should be set pension?
sum will the deposit of ₹800. The account paid 6% interest a town increases and death rates per interest on ₹578.30 outflows, action. Assume Net Present cost of capital rent, you should can borrow company. Is this the bond of return of
s can earn aside every
compound compounded quarterly. On October 1, 2001 he closed every year by 2% of 1,000 are 39.4 and half-yearly the project cost of borrowing Value (NPV) is 10%? [PVIF compare it with its money at 14% agreement should be 14%?
interest at year if the Ambiguous 6 157.34
interest at the account and added enough additional money to the population at 19.4 respectively. rests on Answer: Answer: should be as 10% compounded is positive, @ 10% for selling price. If the compounded favourable to the either equal
Answer - 4% p.a.? sinking fund
5% p.a. for invest in a 6 month time-deposit for ₹1,000, earning 6% the beginning of The number of ₹10,000, the ₹76,375.80 14.2 Years undertaken. per annum. and the three years are selling price is more annually? company? to or less
₹11,761.36 investments Answer -
two years compounded monthly. that year. The years in which the rate for the project 0.909, 0.826 than the present than the
accumulate ₹1,44,900
compounded 1) How much additional amount did the person invest number of years by population will be first and Answer: The rate Answer: 12%
at 3.5% should be and 0.751] value of all the lease Present
annually be on October 1? which the total doubled assuming second years Answer - undertaken, rentals that you're Value of all ₹907.125 should be
compound
₹1,640? 2) What was the maturity value of his time deposit on increase of there is no being 6% and ₹12,006 Answer: 2nd otherwise, going to receive, then Answer: PV = Answer: PV = the inflows. given as
interest p.a.?
April 1 2002? population be 40% immigration or for the third Machine is the project obviously, go for ₹3,642.11 ₹3,60,473.40 compounded
3) How much total interest was earned? is: emigration is: year 9% p.a. is: Preferable should not be Answer: ₹27,340 selling, otherwise go Leasing is Leasing is monthly.
undertaken. for leasing. Preferable. preferable. Answer usi se
Answer - aayega.
₹16,000 Answer -
1) ₹175.82 2) ₹1,030.38 3) ₹54.56 Answer - 17 years Answer - 35 years Answer - ₹2,290 ₹16,050
Chapter 5 – Permutations and A R
Combinations U M
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Chapter 6 – Sequence and Series A R
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 Measures of Central Tendency and Dispersion

Arithmetic Mean Geometric Mean Harmonic Mean Partition Values Mode Range Mean Deviation Standard Deviation Quartile Deviation
(Positional Averages)
Meaning Calculation Properties Range Coefficient of Range Properties Mean Deviation Coefficient of Mean Deviation Properties Standard Deviation Coefficient Quartile Deviation Coefficient of Properties
Formulas Properties Formulas Properties Formula Properties Properties Quartile Deviation
of Variation
Positional Values Property

CA Nishant Kumar
AM for constant values is constant Individual GM for constant values is HM for constant values is constant Largest Individual Discrete Continuous Series Relationship between Mean, Median, Mode Change in Origin/Scale Individual Continuous Range for Individual Series MD for constant Individual Series SD for constant observations is ZERO Individual, Discrete, If x and y are two
Individual Individual
Series constant Occurring Series Series Series Series constant observations is ZERO Continuous Series variables related as y
Series Series If x and y are two
Partition Values Observation observations is = a + bx for two
variables related ZERO. constants a and b,
as y = a + bx for For Moderately Skewed Data For For For If x and y are two If x and y are two If x and y are two variables
Combined AM Formula and QD of x is
Discrete Combined HM any two Largest Observation Meaning of Symbols Largest variables related as y = related as y = a + bx for two
Symmetric Positively Negatively variables related as y Upper Most known, then QD of y
Series No. No. of Rank for constants a and Occurring with Data Skewed Skewed = a + bx, and Mode of Observation Class If x and y are two a + bx for two constants a and b, and SD of x is
Discrete Partition Rank for Rank for Discrete known, then SD of y is given by: is given by:
Discrete of Partition Symbol Continuous b, and the Observation Highest Data Data x is given, then Mode - Smallest Boundary - variables related constants a and b, and
Series Value Individual Series Series
Here, r is the number of Series Parts Values Series Median/ Decile/ Frequency Lower Limit of the Modal Class Interval Mode = Mean - Mode of y is given by: Observation Lower Most as y = a + bx for Discrete & Continuous Series MD of x is known, then
N = Total of Frequencies Sum of Deviations from AM is always 0 observations The harmonic mean of 1, 1/2, 1/3,...1/n is Quartile/ 3Median - = 3(Mean - Class two constants a MD of y is given by:
2/(n+1). Percentile of x is 2Mean Median) Mean = Boundary and b, and Range If there are only two
known, then the Frequency of the Modal Class Interval Median = Mean > Mean < of x is known, observations in the entire data,
Same as Discrete. To calculate average RATE, use Median 2 1 Median/ Mode Median > Median < then Range of y standard deviation of the data is
Continuous x is given by the mid GM Quartile/ Decile/ Mode Mode is given by: given by:
Series point of the class Average Speed Percentile of y is Discrete & Continuous Series
intervals. AM is given by: Frequency of the Preceding Class Interval
affected due Sum of Absolute
to change in Deviations from Median For the first n natural numbers,
origin as well Quartile 4 3 Frequency of the Succeeding Class Interval is Minimum standard deviation is given by:
as scale

Class Length
Formula
Decile 10 9

Combined Standard Deviation

Relationship between AM, GM, HM

Percentile 100 99 Key

Kaun Kisse Kitna Bada Hai? Aapas me Kya Relation Hai?

For Distinct Values For Constant Values

Formula for Calculation in case of Continuous Series

AM > GM > HM AM = GM = HM
Meaning of Symbols

Lower Boundary of Class Interval

AM ≥ GM ≥ HM

Cumulative Frequency of the

Preceding Class Interval

Frequency of the Class Interval

Length of the Class Interval

 Probability

Basic Formula Odds Types of Events Set Theoretic Approach Conditional Probability Expected Value of Random Variable

No. of ÷ Total No. of In Favour Against Equally Likely/ Impossible Sure/ Mutually Simple Composite Exhaustive Two Events Expected Value of x
Favourable Outcomes Mutually Certain Exclusive/
Outcomes Symmetric/ Incompatible
No. of ÷ No. of No. of ÷ No. of Events Event Event All the Mutually Exclusive
Equi-Probable
By Creating Sample Space Favourable Unfavourable Unfavourable Favourable having Events which which can events of
Outcomes Outcomes Outcomes Outcomes ZERO having Events which cannot be be broken an
Events having probability 100% can never occur broken into experiment Expected Value of x square
Examples
equal of occurring chance of together into multiple taken
When an
probability of occurring multiple parts together Other
experiment with Questions
Tossing of a Coin Rolling of a Dice occurring parts
total number of P(A) = 0
outcomes a is P(A) = 1 E.g. Odd
repeated b AQB - AQB - Set A - Set A - Variance of x
P(A) = P(B) E.g. number
number of times Question 67 Question 68 Question 22 Question 48
Questions Number 3 appears Three Events
appears on a Dice
The odds in The odds in If P(A) = 5/9, If an unbiased on a Dice Roll

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Set C - Question 6 Set B - Question 19 Set A - Question 55 Set C- Question 19 Roll Mutually Exclusive
Question favour of one favour of one then the odds die is rolled
student student against the once, the odds
There are three It is given that a What is the Four digits 1, 2, 4 passing a test passing a test event A is: in favour of
AQB - Question 9 are 3:7.The are 3:7.The getting a point
boxes with the family of 2 probability of and 6 are Questions
following children has a having at least one selected at odds against odds against which is a
Answer - 4:5 Other
composition: girl, what is the 'six' from 3 throws random to form In a single throw another another multiple of 3 is:
Box I - 5 Red + 7 probability that of a perfect die? a four digit with two dice, the student student Set A - Question 10 Set A - Question 23 Set B - Question 5 Set B - Question 8
White + 6 Blue the other child is number. What is probability of passing it are passing it are
Answer - 1:2 Probability that only event A occurs
Box II - 4 Red + 8 also a girl? the probability getting a sum of 3:5.The 3:5. The
If an unbiased coin If A, B and C are If A, B and C are A, B and C are
White + 6 Blue that the number five on the two probability probability that
is tossed once, mutually exclusive mutually exclusive three mutually
Box III - 3 Red + 4 so formed, dice is? that both pass both fail is:
Answer - 1/3 then the two and exhaustive independent and exclusive and
White + 2 Blue would be is: Questions
events Head and events, then P(A) + exhaustive events exhaustive
If one ball is divisible by 4?
Answer - 1/9 Answer - 21/80 Tail are P(B) + P(C) equals to then what is the events such that Probability that only event B occurs
drawn at
Answer - 3/16 probability that P (A) = 2 P (B) = Example 16.14 Example 16.8 Example 16.13
random, then
Answer - 1/3 they occur 3P(C). What is P
what is the Answer - Answer - 1
simultaneously? (B)?
probability that Mutually There are three persons A, B and C having Three events A, B If P(A – B) = 1/5,
they would be of Exclusive, different ages. The probability that A survives and C are P(A) = 1/3 and P Probability that only event A or only event B occurs
same colour? Exhaustive, Answer - 0 Answer - 3/11 another 5 years is 0.80, B survives another 5 mutually (B) = 1/2, what is
Equally Likely years is 0.60 and C survives another 5 years is exclusive, the probability
Answer - 89/729 0.50. The probabilities that A and B survive exhaustive and that out of the
another 5 years is 0.46, B and C survive equally likely. two events A and
another 5 years is 0.32 and A and C survive What is the B, only B would
another 5 years 0.48. The probability that all probability of the occur?
these three persons survive another 5 years is complementary Questions
0.26. Find the probability that at least one of event of A?
Answer - 11/30
them survives another 5 years.
Set A - Question 50 Set B - Question 9
Answer - 2/3
Answer - 0.90
For two events A and B, P (B)
= 0.3, P (A but not B) = 0.4 and
P (not A) = 0.6. The events A
and B are

Answer - Mutually Exclusive

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 Theoretical Distributions

Binomial Distribution Poisson Distribution Normal Distribution

Meaning Formula Properties Meaning Formula Properties Applications Formula Properties

Used to Applicable for Discrete Variable Used to find Applicable for Discrete Variable The distribution of the Applicable when Random Variable is continuous
find the the probability no. of printing
Biparametric Uniparametric Plotting the points on a graph gives it a shape of a bell curve.
probability when total mistakes per page of a
when total Mean = np number of Mean = Variance = np large book.

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number of outcomes is
Mode Standard Deviation The distribution of the
outcomes huge and
no. of road accidents on
is huge n Number of times the experiment is repeated probability of
a busy road per minute.
Mode 1 = success is very Square root of variance e 2.71828
x Requirement of the question e 2.71828
(n + 1)p (n + 1)p small The distribution of the
is an m Mean = np Mode no. of radio-active x Random Variable
p Probability of success in each trial
Depends integer Mode 2 = elements per minute
on the (n + 1)p - 1 x Requirement of the question Mean of x
q Probability of failure in each trial in a fusion process.
Mode 1
value of SD of x
Mode = m is an =m The distribution of the
(n + 1)p (n + 1)p
Integral integer no. of demands per
is a Depends Mode 2 = Area between - infinity and mu = 0.5
Part in minute for health
fraction on the m-1 Area between mu and infinity = 0.5
(n + 1)p centre and so on.
value of
Mode =
If p = q = 0.5 n/4 m The number of defects
Variance m is a Integral
Other Cases npq fraction Part in per meter on long roll
m of coated polythene
Standard Deviation sheet.
Additive Property

Square Root of Variance

Additive Property Biparametric

Unimodal Mean = Median = Mode

Relationship between MD, SD, QD

4SD = 5MD = 6QD MD = 0.8SD QD = 0.675SD

Questions
Quartiles and SD

Questions Jan, 2021 Dec, 2020 Dec, 2020 Nov, 2019 June, 2019 Q1 = Mean - 0.675SD Q3 = Mean + 0.675SD

Skewness
If x is a Poisson If the For a Poisson In a Poisson In a
Jan, 2021 Nov, 2019 Nov, 2019 June, 2019 June, 2019
variable and P (x = parameter distribution Distribution, if P Poisson
1) = P (x = 2), then P of Poisson variable x, we (x = 2) = 1/2 P (x Distribution,
A coin with In a Binomial Find mode, when n If mean and 4 coins were (x = 4) is? distribution have P (x = 7) = = 3), find m. if P (x = 4) =
probability Distribution, = 15, and p = 1/4 in variance are 5 tossed 1600 is m and 8P (x = 9). The P (x = 5),
for head as n = 4, P (x = 2) a binomial and 3 times. What (Mean + S. mean of the then the
Answer: 6
½ is tossed = 3P (x = 3). distribution. respectively is the D.) = 6/25 distribution is? parameter
100 times. Find p. then relation probability then find m. of the
Find the between p and that all 4 Poisson
Answer: 4 and 3 Answer: 3
standard q is: coins do not Distribution
Answer: 1/3 Answer: 1/25
deviation of turn head is?
this upward at a
Answer: p < q
binomial time?
Answer: 5
distribution.

Skewness of Normal Curve = 0

Answer: 5
Points of Inflexion

Area Coverage

Some Other Points

In case of normal distribution, Highest Value = Mean + Half of Range;

Lowest Value = Mean - Half of Range

The height of the Normal Curve is maximum at the mean value

Questions

Dec, 2020 Nov, 2019 Nov, 2019 June, 2019

The quartile Area If the points

deviation of a under µ ± of inflexion
normal 3σ is: of a normal
distribution curve are 40
with mean 10 and 60
Answer:
and standard respectively,
99.73%
deviation 4 is? then its
mean
deviation is
Answer: 2.7 Answer: 3, 1/2

Answer: 8

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 Correlation and Regression

Correlation Scatter Diagram Karl Pearson's Product Moment Correlation Coefficient Spearman's Rank Correlation Coefficient of Concurrent Deviations Regression Miscellaneous
Coefficient

Purpose Formulas Properties This method is used when Formula Meaning Simple Regression Model Properties
Limits we are not serious about Formula

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Used for comparing Formula magnitude of the relation
Qualitative between two variables.
To find out r = -1 Perfect Negative Correlation Best for Characteristics. Rank is We just need to find out In regression The lines of
Change of Origin/Scale assigned to the value of analysis, we y depends on x x depends on y regression intersect
the extent Linear whether there is a
x and y in such a manner are concerned at the means of x Limits
of Relationship positive or a negative
relationship that the highest value of correlation. Signs of with the and y.
-1 < r < 0 Negative Correlation x gets rank 1, the second
between Covert the equations in the form of ax + bu + c deviations are calculated estimation of Express the relation in the form of y = a + bx. b is the Express the relation in the form of x = a + by. b is the
Step 1 highest gets rank 2 and Method 1 Method 1
two = 0 and ay + bv + c = 0 for all the values of x, and one variable regression coefficient of y on x. regression coefficient of y on x. If r < P.E., there is no evidence of correlation
variables so on. Similarly, ranks similarly signs of for a given Probable Error
r=0 No Correlation are assigned to the value of
deviations are calculated
values of y. Then for all the values of y. another Formula Formula If the value of r is more than 6 times of the
difference between Then the product of these variable on for a for a probable error, then the presence of
ranks is calculated for In order to find out
0<r<1 Positive Correlation signs is calculated. The the basis of Properties correlation coefficient is certain
each value, and then which line of
Calculate number of times the an average
Step 2 squares of differences regression is x on y, or
b and d deviations are calculated mathematical
are calculated. y on x, assume any
r=1 Perfect Positive Correlation is known as m, and the relationship Since r lies between –1 and +1 (–1 < r < 1), the
line to be y on x. Then
number of positive signs between the probable error is never negative, i.e., Probable
represent it in the
in the product column is two variables. Error is always a positive figure.
standard form of y = a
known as c. Method 2 Method 2 + bx, and calculate b
of y on x. Similarly,
if b and d Formula Formula
Correlation Coefficient is a unit-free measure represent the other
have the for b for b line in the standard Standard Error
Find out same sign
form of x = a + by, and
the calculate the b of x
Step 3 correlation on y. Then calculate r.
between u if b and d If r lies between -1
and v have and +1, then your Coefficient of Determination
opposite assumption is correct.
signs

Coefficient of Non-Determination

Alternatively When r = +1 or -1, the lines of regression coincide

When r = 0, the lines of regression are perpendicular to each other

When there is no correlation, r = 0, but when r = 0, you cannot say with surety that there is no
correlation. There could be a non linear correlation as well.
 Index Numbers

Price Relative Simple Aggregative Method Simple Average of Price Relatives Weighted Aggregative Index Deflating Time Series Using Index Numbers Tests of Adequacy

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P1/P0 × 100 Questions Unit Test Time Reversal Test Factor Reversal Test Circular Test

Questions Laspeyre's Index June, 2016 June, 2014 December, 2012 June, 2017 Meaning Important Point Meaning Symbolically Important Points Meaning Symbolically Important Symbolically Important Points
Points

August, 2007 December, 2011 June, 2013 December, 2014 In the year 2010, Monthly salary of Net monthly The monthly Formula All the formulae The Laspeyre's Index Product of Price This test Satisfied by Not
the monthly an employee was salary of an income of an should be satisfy this test product of Index and This test is enables us to Satisfied
Questions Questions salary of a clerk ₹10,000 in the employee was employee was independent except Simple the ratios Quantity Index satisfied by adjust the by
The prices of a If the prices of In year 2005 If the price of a Paasche's Index Does Not Satisfy Simple Weighted
was ₹24,000. The year 2000 and it ₹3,000. The ₹8,000 in 2014. of the unit in Aggregative Index. of current = Value Index Fisher's index values
commodity in all the commodity in a Geometric Aggregative
consumer price was increased to consumer price The consumer which prices to base, Passche's Index Index from period to
the year 1975 commodities wholesale place has December, 2011 December, 2013 Mean of with Fixed Laspeyre's
index was 140 in ₹20,000 in year index number in price index and and base period without
and 1980 were in a place has price index decreased by Price Weights
the year 2010, 2013 while the 1985 is 250 with number was quantities to current referring to Paasche's
25 and 30 increased 20% number is 30% over the Does Not Satisfy Relatives
The index number for the year 2012 taking 2011 which rises to 224 consumer price 1980 as base year. 160 in 2014, are quoted. should be original base
respectively. in comparison 286 with base period The Simple Index for the Current Year using Simple Fischer's
as the base year from the data given below by Marshall-Edgeworth in the year 2016. If Index No. is 240 in If he has to be which rose to 1. Fischer's Index every time
Taking 1980 as to the base 1995 as base prices, then the Aggregative Method for the following data is:
using simple average of price relative method is he has to be year 2013 with rightly 200 in 2017. If
the base year period prices, year, then index number of
Commodity Base Year Price Current Year Price rightly the base year compensated he has to be
the price then the index how much the place is: Commodity A B C D E Satisfies
compensated, 2000. What then the rightly Question
relative is: number of the prices Wheat 80 100 what additional should be his additional compensated,
prices for the have Price in 2011 115 108 95 80 90
Answer: 70 Rice 100 150 Bowley's Index monthly salary salary in dearness the additional
place is now increased in
Answer: 83.33 Price in 2012 125 117 108 95 95 should be paid to comparison of allowance to be dearness If the 1970 index with base 1965 is 200, and 1965 index with base 1960 is 150, what will be the index of
_________. 2005 in Gram 120 250 him? consumer price paid to the allowance to be 1970 on base 1960?
comparison
index in the year employee is? paid to him in
to 1995? Pulses 200 300
Answer: 120 2013? 2017 would be?
Answer: 111
Answer: ₹14,400 Answer: 300
Fischer's Index Answer: ₹4,500
Answer: 186%
Answer: ₹24,000 Answer: ₹2,000
Answer: 160

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