How to solve XAT 2016 Question 33?

This question can be solved by applying the core concept explained in the solution above, followed by step-by-step calculation and elimination of options.

Which concept is tested in this question?

This question tests fundamental concepts commonly asked in XAT exams.

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XAT 2016 Question 33

This is a detailed step-by-step solution for XAT 2016 Question 33. Understand the concept, common mistakes, and expert tips to solve similar questions in XAT exam.

XAT

Option B only talks about comfort and not safety. Hence, it is rejected.
Option C talks about a second loan which does not concern the given situation and hence, is rejected.
It is given that the customers will not pay more for safety. Thus, option A is rejected.
Among options D and E, only D will make sure that the taxis are both comfortable and safe with adding a strict punishment clause.
Hence, the answer is option D.

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