National Evaluation Series (NES) Business Studies Practice Test 2025 - Free Business Studies Practice Questions and Study Guide

The choice of a circle graph, also known as a pie chart, is ideal for illustrating the percentage of gross sales contributed by each product because it visually represents parts of a whole. Each slice of the pie corresponds to a specific product's contribution to total sales, making it easy for viewers to quickly grasp the relative size of each segment in relation to the overall pie. This visual representation helps in understanding proportions at a glance, which is especially useful when comparing contributions across different categories.

In contrast, bar graphs are better suited for comparing discrete quantities but do not effectively communicate percentages in a circular format. Line graphs are primarily used to show trends over time rather than static data proportions, while histograms organize data into bins and are effectively used for frequency distribution rather than illustrating parts of a total. Thus, for visualizing percentage contributions, a circle graph is the most suitable choice.