The IIT Madras BS Business Data Management (BDM) End Term paper sat on 13 Apr 2025, in the January 2025 term: 24 questions for 30 marks in 180 minutes. Every question is below with its answer. Take it as a timed mock test to be marked, or read it through first.
What does the law of demand state?
As the price of a good increases, the quantity demanded decreases
As the price of a good decreases, the quantity demanded decreases
As the price of a good increases, the quantity supplied decreases
As the price of a good decreases, the quantity supplied increases
Correct answer
As the price of a good increases, the quantity demanded decreases
Which function would you use to count the number of cells that meet a specific condition?
COUNT
COUNTA
COUNTIF
COUNTSUM
Correct answer
COUNTIF
In a saturated smartphone market where 70% of current users express interest in upgrading their phones in the next two months, and the no. of new smartphone users remain unchanged, what should companies/manufacturers prioritize?
Expand distribution channels to reach untapped geographic regions.
Focus on females as their target customers.
Invest in research and development to create innovative features for new customers.
Develop targeted upgrade incentives and promotions for current users looking to replace their old devices
Correct answer
Develop targeted upgrade incentives and promotions for current users looking to replace their old devices
What does the Days of Sales of Inventory indicate?
The average number of days required by a company to turn its inventory into sales.
The number of days when inventory is zero in a year
Total number of days when inventory sales is zero due to lack of inventory
The average number of inventory stockout days in a month
Correct answer
The average number of days required by a company to turn its inventory into sales.
Which of the following factors is most critical in determining the market potential for a new product ?
The size of the target market and percentage of potential customers interested in the product.
Historical sale data of unrelated products.
Cost of production and distribution.
Current market share of existing products.
Correct answer
The size of the target market and percentage of potential customers interested in the product.
Which metric is most important to monitor during an A/B test?
Total number of users tested in the experiment
Uptime of the system
Key performance indicators (KPIs) specific to the experiment
Model training time
Correct answer
Key performance indicators (KPIs) specific to the experiment
Arrange the following steps while working with unstructured data in a ranking modelling: I. Normalizing
II. Preprocessing
III. Ranking
IV. Composite score
I -> II -> III -> IV
II -> I -> IV -> III
I -> II -> I -> IV -> III
I -> II -> I -> III -> IV
Correct answer
II -> I -> IV -> III
If a FinTech company wants to cut down losses, which of the following should they do?
Decrease approval cutoff of credit score
Increase interest rate
Increase approval limit for loans
Increase approval cutoff of credit score
Give more loans
Correct answer
Increase approval cutoff of credit score
PayBuddy conducted an A/B test to understand if their new Funding Instrument recommendation strategy works well. Following are the details of the control and treatment groups. From the given table, which of the following statements are true?
i. Value of Credit transactions increased with the new recommendation strategy
ii. Value of Debit transactions increased with the new recommendation strategy
iii. Value of both Credit and Debit transactions increased with the new recommendation strategy iv. Value of Credit transactions decreased with the new recommendation strategy
v. Value of Debit transactions decreased with the new recommendation strategy
Both (i) & (v)
Only (iii)
Only (i)
Both (ii) & (iv)
Only (v)
Correct answer
Both (ii) & (iv)
PePhone is a FinTech firm that processes payments. Following are sources of revenue for the company – 3.5% of transaction amount as transaction fee from merchant for all types of transactions (credit and debit), 18% p.a. interest on credit transactions and incurs a loss of credit if not paid back. Calculate the overall profit for the company based on the below table – (Assume payback of credit in a year)
Note: Declined transactions will not get credit but customers will complete the payment through PePhone using their bank details.
| Cust ID | Date of Application | Cust Segment | Application Credit Score | Application Amount | Approved_vs_Declined | Decline Reason | Paid Back or Defaulted |
|---|---|---|---|---|---|---|---|
| 17289 | 26/03/21 | Low | 588 | 168 | Approved | Paid Back | |
| 17290 | 17/02/21 | Mid | 635 | 109 | Approved | Defaulted | |
| 17291 | 23/02/21 | High | 455 | 183 | Declined | System Issue | NA |
| 17292 | 20/02/21 | Mid | 484 | 334 | Declined | Credit Risk | NA |
| 17293 | 05/02/21 | Mid | 637 | 102 | Approved | Defaulted | |
| 17294 | 11/01/21 | Mid | 559 | 499 | Declined | Credit Risk | NA |
– 211.0
– 192.72
–131.94
– 162.18
Correct answer
– 192.72
Which of the following conditions can use the concept of "weighted average" to analyse expenditure data?
By considering importance of expenditure categories
By considering the population size of different regions
By adjusting for inflation over time
By analyzing the impact of income levels on expenditure
Correct answers
By considering importance of expenditure categories
By considering the population size of different regions
In Excel, the SUBTOTAL function is used to perform calculations on a filtered range of data. Which of the following statements about the SUBTOTAL function is correct?
SUBTOTAL can only calculate the sum of a range and ignores hidden rows in the filtered data.
SUBTOTAL can perform various calculations, including sum, average, count, and more, and it ignores rows hidden by filters.
SUBTOTAL performs calculations only on rows that are manually hidden, not those hidden by filters.
SUBTOTAL can calculate results based on data in any worksheet, regardless of whether the data is visible or hidden.
Correct answers
SUBTOTAL can only calculate the sum of a range and ignores hidden rows in the filtered data.
SUBTOTAL can perform various calculations, including sum, average, count, and more, and it ignores rows hidden by filters.
Based on the sample data given answer the subquestions.
Determine the percentage change in total revenue when income increases from Rs 15000 to Rs 25000.
41.2%
42%
42.5%
41.8%
Correct answer
42.5%
Based on the sample data given answer the subquestions.
What is the type of goods based on the given table?
Normal Goods
Inferior Goods
Luxury Goods
None of these
Correct answer
Normal Goods
Based on following data, answer the given subquestions:
| Product | Prod. ID | Month 1 Sales | Month 2 Sales | Month 3 Sales | Unit Price ($) |
|---|---|---|---|---|---|
| Widget A | SKU01 | 120 | 150 | 130 | 25 |
| Widget B | SKU02 | 80 | 90 | 70 | 15 |
| Gadget X | SKU03 | 200 | 180 | 210 | 40 |
| Gadget Y | SKU04 | 50 | 60 | 55 | 50 |
| Accessory Z | SKU05 | 30 | 40 | 35 | 30 |
| Widget C | SKU06 | 100 | 110 | 120 | 20 |
| Gadget Q | SKU07 | 90 | 100 | 95 | 35 |
| Accessory X | SKU08 | 60 | 70 | 65 | 10 |
The total revenue of the firm is:
67125
66895
65285
67565
Correct answer
67125
Based on following data, answer the given subquestions:
| Product | Prod. ID | Month 1 Sales | Month 2 Sales | Month 3 Sales | Unit Price ($) |
|---|---|---|---|---|---|
| Widget A | SKU01 | 120 | 150 | 130 | 25 |
| Widget B | SKU02 | 80 | 90 | 70 | 15 |
| Gadget X | SKU03 | 200 | 180 | 210 | 40 |
| Gadget Y | SKU04 | 50 | 60 | 55 | 50 |
| Accessory Z | SKU05 | 30 | 40 | 35 | 30 |
| Widget C | SKU06 | 100 | 110 | 120 | 20 |
| Gadget Q | SKU07 | 90 | 100 | 95 | 35 |
| Accessory X | SKU08 | 60 | 70 | 65 | 10 |
In terms of sales trend, which product has a continuously increasing trend?
Gadget X
Widget A
Widget C
Gadget Q
Correct answer
Widget C
Based on following data, answer the given subquestions:
| Product | Prod. ID | Month 1 Sales | Month 2 Sales | Month 3 Sales | Unit Price ($) |
|---|---|---|---|---|---|
| Widget A | SKU01 | 120 | 150 | 130 | 25 |
| Widget B | SKU02 | 80 | 90 | 70 | 15 |
| Gadget X | SKU03 | 200 | 180 | 210 | 40 |
| Gadget Y | SKU04 | 50 | 60 | 55 | 50 |
| Accessory Z | SKU05 | 30 | 40 | 35 | 30 |
| Widget C | SKU06 | 100 | 110 | 120 | 20 |
| Gadget Q | SKU07 | 90 | 100 | 95 | 35 |
| Accessory X | SKU08 | 60 | 70 | 65 | 10 |
What percentage of total revenue do Widgets contribute?
30.1%
42.4%
25.6%
35.5%
Correct answer
30.1%
Based on the data in the table, Calculate the missing values X1, X2, X3 & X4 and answer the given subquestions.
X1:
Correct answer: 1
Based on the data in the table, Calculate the missing values X1, X2, X3 & X4 and answer the given subquestions.
X2:
Correct answer: 180
Based on the data in the table, Calculate the missing values X1, X2, X3 & X4 and answer the given subquestions.
X3 (in%):
Correct answer: 83.25 (accepted within ±0.25)
Based on the data in the table, Calculate the missing values X1, X2, X3 & X4 and answer the given subquestions.
X4 (in%):
Correct answer: 65.375 (accepted within ±0.375)
Match the following
| 1. A form created by HR that outlines the budgetary details, skills and capabilities required etc. | a) Appraisal |
|---|---|
| 2. Organization source talent by asking their existing employees to recommend candidates from their existing networks. | b) Indent |
| 3. The process of evaluating an employee’s current and/or past performance | c) Employee referral |
Based on the above data, answer the given subquestions.
A form created by HR that outlines the budgetary details, skills and capabilities required etc.
Appraisal
Indent
Employee referral
None of these
Correct answer
Indent
Match the following
| 1. A form created by HR that outlines the budgetary details, skills and capabilities required etc. | a) Appraisal |
|---|---|
| 2. Organization source talent by asking their existing employees to recommend candidates from their existing networks. | b) Indent |
| 3. The process of evaluating an employee’s current and/or past performance | c) Employee referral |
Based on the above data, answer the given subquestions.
Organization source talent by asking their existing employees to recommend candidates from their existing networks.
Appraisal
Indent
Employee referral
None of these
Correct answer
Employee referral
Match the following
| 1. A form created by HR that outlines the budgetary details, skills and capabilities required etc. | a) Appraisal |
|---|---|
| 2. Organization source talent by asking their existing employees to recommend candidates from their existing networks. | b) Indent |
| 3. The process of evaluating an employee’s current and/or past performance | c) Employee referral |
Based on the above data, answer the given subquestions.
The process of evaluating an employee’s current and/or past performance
Appraisal
Indent
Employee referral
None of these
Correct answer
Appraisal
