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Section I of the Article How to Excel in Data Interpretation

Consider the following data set showing the top 7 countries (in descending order) on
the basis of the crude oil reserve that they have reported:
Rank
Country
1
Saudi Arabia
2
Canada
3
Iran
4
Iraq
5
Kuwait
6
Venezuela
7
UAE

Further it is reported that percentage share of Kuwait in total reserves is 21%.


Is this data given above possible? What is the possible flaw?
Look at the data for Kuwait Can a country standing at Rank 5 have the percentage share of
21% in total crude oil reserve?
Country ranked 5 can have a maximum reserve that should be less than 20%.
In this article, we would further develop the basic understanding of different data sets.
Further, this would also give an opportunity to understand that how questions are
generated from raw data, helping us to get into the mind of question setter.
Let us see how we generate the questions at different levels from the data set given ahead:
Data Set 1
Following table gives the FDI inflows (USD million) in India for the six years from 2000-2005
for six different countries, its percentage share in the total inflows of India in that particular
year and percentage of total outflows from that country in that particular year across the
globe.
Year

Country

2000
2001
2002
2003
2004
2005

Mauritius
US
UK
Singapore
Netherlands
Japan

FDI inflows in
India
20103
4070
3460
2694
2435
3856

% of total inflows of India


44%
12%
6%
4%
9%
11%

% of total outflows of that


country
56%
3%
9%
3%
14%
5%

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Let us now see that how questions can be generated out of this data at different
dimensions:
Observation based questions:
These questions require simple and careful observation of the data.
Q1. UKs total outflow in 2002 is what percentage of Indias total inflow of 2002?
Q2. For how many years, Indias total FDI inflow in any particular year is more than the FDI
outflow of the country given in that particular year?
Interpretation and Calculation (IC) based questions:
These questions require basic interpretation and calculation with data.
Q3. What is the total outflow of FDI from US in 2001?
Q4. Arrange the following in the ascending order Indias total FDI inflow in 2000 or in 2001
or 2002?
Explorative questions:
These questions will pose a hypothetical scenario, and may expect you to use, observation,
interpretation and calculation.
Q5. In the year 2006, India stops FDI inflows from Mauritius and it is observed that for each
of the remaining five countries, increase in FDI outflow to India in 2006 is exactly equal to
the 1/5th of Mauritiuss FDI outflow in 2000. For which country the percentage increase in
the FDI outflow is maximum over the data given for that country?
For how many of the above questions, do you get the exact idea that how would we solve
the questions? In ideal situation, it should be all five.
Now well see the solution and explanations to Data Set 1:
A1. Is this going to be more than 3460 or less than it?
6

9% of UKs outflow = 6% of Indias inflow UKs outflow / Indias inflow = =


So, we conclude that UKs total outflow = 66.66% of Indias inflow.
Alternatively,

Understand that 9% of UKs outflow is 6% of Indias inflow a higher percentage of UKs


value = a lower percentage of Indias value.

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Hence we can conclude that UKs outflow is less than Indias inflow. Hence multiplier should
be less than 1.
So UKs outflow is 6/9 = 2/3 of Indias inflow = 66.66% of Indias inflow
A2. This is now a sitter.
Reflect the following statement upon yourself:
If % of total inflows of India < % of total outflows of that country, then Indias FDI inflows
will be more than the FDI outflow of that country in that particular year.
Hence three years is the answer.
A3. 3% of US outflow in 2001 = USD 1270 million
Hence 100% US outflow in 2001 = USD 1270 million 33.33 = USD 42329 mn
A4.
Year
2000
2001
2002

FDI inflows
20103
4070
3460

% of total inflows
44%
12%
6%

For the year 2000, Approximate FDI inflow in India = approx 2.2 (= 100/44) 20103 = 44000
approx.
For the year 2001, Approximate FDI inflow in India = approx 8.3 (= 100/12) 4070 = 32000
approx.
For the year 2002, Approximate FDI inflow in India = approx 16 (= 100/6) 3460 = 54000
approx.
So arranging it in ascending order we get:
FDI inflow in India in 2001 < in 2000 < in 2002.
A5.
This question expects us to explore the future scenario.
Average of Mauritius FDI inflow in 2000 = 20103/5 = 4020.6
Now let us see the solution:
Year

Country

FDI inflows in
India

% of total outflows
of that country

Total FDI outflow for that


country

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2000
Mauritius
2001
US
2002
UK
2003 Singapore
2004 Netherlands
2005
Japan

20103
4070
3460
2694
2435
3856

56%
3%
9%
3%
14%
5%

35898
135667
38444
89800
17393
77120

Since FDI outflow for Netherlands is the lowest, hence a change of USD 4020 million will
reflect maximum percentage change.
Further, only understanding the type of questions is not sufficient. Ultimately, the objective
is to solve the questions. In the next section of this article, well see this:
Section II of the Article How to Excel in Data Interpretation
To Excel in Data Interpretation, a student is required to have the following four skills:

Developing familiarity with


the types of data set

You should have a thorough understanding of the different data sets and related calculations. In the
next articles, I would present a data set, questions related and how to apporach those questions.

Developing sound fundamentals


of Percentage and Ratio

Addition is most important. After that, these are the two chapters that will have a lions
share in the calculations while solving any DI set.

Calculation techniques
pertaining to the data set

We will discuss this under two headings:


a. Approximation

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b. Specific calculation techniques


a. Approximation is the art of doing mistake smartly. In other words, when somebody expects to
approximate the value, it means we need to find out an answer without doing the actual calculation
which is close to the actual value.
Thumb rules for approximation:
i. Look at the options 1st Before you start calculating the final answer, look at the options. They
should not be too close as in that case approximation might lead us to choose the wrong option as
the answer. A minimum gap of atleast 5% is desirable among options.
ii. An approximation is good if it is in the range of 2%.
iii. At the end of approximation, one should know the direction of approximation. It means that one
should know that approximated value is more than or less than the actual value.

How do we approximate in the calculation:


13

13

Let we divide79 Approximately equal to 78 = 6 = 0.1667


It is so easy because of denominator is very- very close to the multiple of Numerator. In
79

reverse case, if numerator is very- very close to the multiple of denominator, then 13 is
78

approximately equal to 13 = 6, but if we consider 79 instead of 78, then we have the


approximated value = 6.07 = 6.1.

Knowing which question to


quit out of a set of questions

Let us understand how questions are created


For every DI set, there is a central idea (this happens in case of Reading Comprehension too) that
question creator has in his/her mind. Ideally, in a set of 4-5 questions, 1-2 questions will be based
upon central idea, and those questions will be of a slightly higher level of difficulty than the other
questions. Although this may not be always true, but provides us the following thumb rules of
solving Data Interpretation.
Thumb Rule 1 - Out of a set of 4-5 questions, 1-2 questions will be slightly difficult. While attempting
the set, 1st one should attempt the easy questions, and then only proceed for those central idea
questions.
Thumb Rule 2 - Before attempting the questions, read all the questions and try to identify which
question is most difficult, and which question is easiest and should be attempted 1st.

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Thumb Rule 3 Dont get impressed with the data. Stay away from the technicalities. Keep focused
that for solving a particular question, what data may be required. We call this Reverse
Contemplating of the solution.
Let us understand the above thumb rules with the help of following example:
Question Set 2
Direction for questions 1 to 3: Go through the data given below and solve the questions based on
it.
Following bar chart gives the distribution of green land in the following countries.
Total green land area = 13,754 sq km.

Some of these green lands are protected and remaining are unprotected. Following bar chart gives
that distribution.
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%

73

67

78
58
34

Brazil

Canada

China

India

Protected

1.

Malayasia

Pakistan

Unprotected

2.2382

3. 2845

4.2654

Which country has the maximum protected greenland?


1. China

3.

41

What is the difference of protected and unprotected Greenland (approx.)?


1. 3015

2.

Japan

43

2.Japan

3. Brazil

4.Canada

Protected green land of India is what percentage of the protected green land of Pakistan?

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1. 48%

2.65%

3. 160%

4.220%

Solution and Explanations:


Let us 1st decide that what should be the order of attempting questions:
In my perception, Q2 should be attempted 1st, then Q3 and then Q1 at the end. Rather you may
choose to not attempt Q1 as it will take atleast 3-4 minutes to calculate.
What all is required to solve which question:
Q1. Pure Calculation
Q2. Observation
Q3. Interpretation and Calculation technique
How to Approach the questions:
Q2. Let us 1st have a look at all the options:
1. China

2.Japan

3. Brazil

4.Canada

Japan seems to be very unlikely, as its percentage share of Greenland is 9% only. Out of remaining
three options, China and Canada are having very close shares at 25% and 23% but
percentage of protected land in Canada is far higher than China (Canada = 67%, China =
58%), so quantity of protected land in Canada will be higher than that of China.
Next we have to compare Canadas protected greenland and Brazils protected Greenland.
Look at the following data:
Country
Canada
Brazil

%age
Protected
23%
67%
16%
73%

Obviously 23% of 67% of X is larger than 16% of 73% of X. It can be calculated through following
methods:
1st method:
For Canada
67% = 2/3 (approx.), so 67% of 23% = approx 2/3 of 23% = 46%/3 = 15.33%
For Brazil
16% = 1/6 (approx.), so 16% of 73% = approx 1/6 of 73% = 73%/6 = 12% approx.
Hence Canadas protected Greenland is maximum.
Hence option 4 is the answer.
Authors Note = Please keep in your mind that all the calculations that you are seeing above should
be done through mental calculation.
Now we would look at Q3:
Q3. Let us look at the data pertaining to India and Pakistan:
Country
India

%age
Protected
16%
34%

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Pakistan

6%

41%

Question is asking for:


Protected green land of India is what percentage of the protected green land of Pakistan?
Protected Greenland of India = 16% of 34% of X
Protected Greenland of Pakistan = 6% of 41% of X
We have to just calculate ratio or percentage value, hence dont need to calculate this of total
Greenland, hence we can take it X or any value.
0.160.34

Answer = 0.060.41 100


Now before you actually calculate the final answer, look at the options. Our actually answer is clearly
more than 200%, and there is just one option having a value more than 200%. Hence option
4 is the answer.
Now we would look at Q1:
Q1. Ideally, in an examination condition, one should not attempt this question. This
question
requires a lot of calculations, and you should attempt it only if you have seen all the
questions and have some time left with you.
Following calculation solves and answers this question:
Country

%age

Protected Unprotected Protected


Area

Unprotected Area

India

0.16

0.34

0.66

748.2176

1452.4224

Canada

0.23

0.67

0.33

2119.4914

1043.9286

Pakistan

0.06

0.41

0.59

338.3484

486.8916

Brazil

0.16

0.73

0.27

1606.4672

594.1728

China

0.25

0.58

0.42

1994.33

1444.17

Japan

0.09

0.78

0.22

965.5308

272.3292

Malaysia

0.05

0.43

0.57

295.711

391.989

8068.0964

5685.9036

Total

Difference of protected area and unprotected area = 2382. Hence option 2 is the answer.

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