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Get access to the detailed solutions to the previous years questions asked in IIM IPMAT exam
We calculated the PAT per employee for F, C and E in the last question, using that information and calculating the PAT per employee for firm D to be 2400/800 = 3
For firms F, C and D, we can see that the area is the same hence the only factor to consider is PAT per employee F is 3.2, C is 3.75, and D is 3
This leaves D as the minimum.
Comparing E and D (taking the proportionality constant as k)
E has PAT per employee as 2.5 with a radius of 1.5 units, the PRD value per employee would be 5/2 kπ (3/2)2 = kπ × (5 × 9)/8
D has PAT per employee as 3, with a radius of 1 unit. The PRD value per employee would be 3kπ (1)2 = 3kπ
We can see that the value would be greater for E, therefore firm D will have the lowest R&D spending per employee in 2023
Therefore, option d is the correct answer.