Theory:

Analogy - Verbal reasoning refers to a branch among various analogies like mathematical analogies, verbal analogies etc. This unit deals with Verbal Analogy.
  
What is a verbal analogy?
Let us try to split the phrase:
  • Verbal means relating to words.
  • Analogy means a comparison between two things, usually to bring about a clarification or a better explanation; it is a method of bringing about a corresponding meaning, to establish a similarity between two different objects.
Now, we derive at the definition of verbal analogy as follows:
Verbal analogy expresses a similarity between different words or pairs of words to bring about a comparison between the said words.
To solve verbal analogy questions, one should first establish a relationship between the pairs of words given in the question; then apply the same relationship to the next pair of words to solve the question.
Example:
1. Cricket: Bat - Hockey: ?
  
A. Sports
B. Stick
C. Play
D. Players
 
The relationship established here: Cricket is played with a bat; what is hockey played with?
Bat is used to play cricket similarly stick is used to play hockey.
 
The answer to the given question is B. Stick.
  
  
2. Tall: short - Above: ?
 
A. Below
B. Small
C. Places
D. Long
 
The relationship established here: Tall and short are opposites of each other. What is the opposite of the above?
 
The answer is A. Below.
 
 
3. Medicines: Sickness - Reading: ?

A. Doctor
B. Knowledge
C. Happiness
D. Ignorance
 
The relationship established here: Medicines can alleviate, reduce sickness. What can reading alleviate? Ignorance.
 
The answer is D. Ignorance.
Important!
It is important to note that one requires strong vocabulary and good knowledge of a vast number of words to solves these exercises easily. Practice of many such exercises will yield good results. Decoding the relationship between the words, not only requires English knowledge; it requires general knowledge also.