📊 GMAT Exam Prep

A bubble chart displays various investment opportunities. The X-axis represents Risk (0-10, low to high), the Y-axis represents Expected Annual Return (0-20%), and the bubble size indicates Capital Required (small=low, large=high). An investor seeks an opportunity with moderate risk (between 4 and 6), an expected return of at least 12%, and low capital requirements. Which investment opportunity best fits these criteria?

A Investment X (Risk: 5, Return: 15%, Bubble Size: Large)
B Investment Y (Risk: 6, Return: 10%, Bubble Size: Small)
C Investment Z (Risk: 4, Return: 13%, Bubble Size: Small)
D Investment W (Risk: 7, Return: 14%, Bubble Size: Medium)

✓ Correct Answer: Option C

Investment Z meets all criteria: Risk 4 (moderate), Return 13% (at least 12%), and Small bubble size (low capital). X has large capital, Y has low return, W has high risk.

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