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CMA Foundation · Fundamentals of Business Laws and Business Communication · Use of Graphics and References for Business Communication

A manager must show what share each of four departments has in a company's total expense of ₹40 lakh for one year. Which choice follows good graphic design for this purpose?

A pie chart with four labelled slices showing percentages is the right choice. Pie charts show how parts make up a whole, and with only four categories the slices are easy to compare. Clear labels and percentages help readers interpret the shares without guessing.

  1. AA pie chart with four labelled slices showing percentagesCorrect
  2. BA pie chart with twenty decorative 3D slices and no labels
  3. CA line graph with departments on the time axis
  4. DA scatter diagram with no axis titles

Explanation

Showing parts of a whole is the strength of a pie chart, and with only four categories it stays readable. Labels and percentages remove guesswork. The other choices use an unsuitable chart type or omit labels, which reduces clarity.

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