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Which of the following diagrams indicates the best relation between Profit, Dividend and Bonus?

Question and options

Which of the following diagrams indicates the best relation between Profit, Dividend and Bonus?
  1. Figure
  2. Figure
  3. Figure
  4. Figure

Answer and explanation

Correct answer: D -
Figure
Dividends and bonuses are both paid out of profit and are different from each other, so the correct diagram is two separate circles inside one large circle (profit). That is the diagram of one large oval enclosing two separate (non-overlapping) circles.

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