@itsvenkathere
compared to the verbal cr in real gmat these q's can be classified as easy..
The Eurasian ruffe, a fi sh species inadvertently introduced into North Americas Great Lakes in recent years,
feeds on the eggs of lake whitefi sh, a native species, thus threatening the lakes natural ecosystem. To help
track the ruffes spread, government agencies have produced wallet-sized cards about the ruffe. The cards
contain pictures of the ruffe and explain the danger they pose; the cards also request anglers to report any ruffe
they catch.
Which of the following, if true, would provide most support for the prediction that the agencies action will have
its intended effect?
(A) The ruffe has spiny fi ns that make it unattractive as prey.
(B) Ruffe generally feed at night, but most recreational fi shing on the Great Lakes is done during daytime hours.
(C) Most people who fi sh recreationally on the Great Lakes are interested in the preservation of the lake
whitefi sh because it is a highly prized game fi sh.
(D) The ruffe is one of several nonnative species in the Great Lakes whose existence threatens the survival of
lake whitefi sh populations there.
(E) The bait that most people use when fi shing for whitefi sh on the Great Lakes is not attractive to ruffe.
Reasons please, and tell me if this is easy, moderate or a tough one..
It should be C as we need to support the author in his contention that ruffe is a threat that needs to be countered..in case people are interested in the preservation of the lake's whitefish, they would take interest in the campaign and provide support to it...
level of difficulty: moderate
It is true of both men and women that those who marry as young adults live longer than those who never marry. This dose not show that marriage causes people to live longer, since, as compared with other people of the same age, young adults who are about to get married have fewer of the unhealthy habits that can cause a person to have a shorter life, most notably smoking and immoderate drinking of alcohol.
Which of the following, if true, most strengthens the argument above?
A. Marriage tends to cause people to engage less regularly in sports that involve risk of bodily harm.
B. A married person who has an unhealthy habit is more likely to give up that habit than a person with the same habit who is unmarried.
C. A person who smokes is much more likely than a nonsmoker to marry a person who smokes at the time of marriage, and the same is true for people who drink alcohol immoderately.
D. Among people who marry as young adults, most of those who give up an unhealthy habit after marriage do not resume the habit later in life.
E. Among people who as young adults neither drink alcohol immoderately nor smoke, those who never marry live as long as those who marry.
2.
The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a droip in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.
Which of the following is an assumption on which the argument depends?
A. The number of television assemblers in Vernland has increased by at least as much as the number of television assemblers in Borodia has decreased.
B. Televisions assembled in Vernland have features that televisions assembled in Borodia do not have.
C. The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
D. The number of televisions assembled annually in Vernland has increased
significantly during the past three years.
E. The difference between the hourly wage of television assemblers in Vernland and the hourly wage of television assemblers in Borodia is likely to decrease in the next few years.
1.
It is true of both men and women that those who marry as young adults live longer than those who never marry. This dose not show that marriage causes people to live longer, since, as compared with other people of the same age, young adults who are about to get married have fewer of the unhealthy habits that can cause a person to have a shorter life, most notably smoking and immoderate drinking of alcohol
2.
The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a droip in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.
.
1) passage is about marriage and marriage helps a boy/girl to stop his/her bad habits which makes him/her live healthy and there by increasing their lifetime
from the option only D is of the point that life after marriage is death of bad habits

2) let V be Vernland and B beBorodia
B sells 2 types of television:
TV from V+ TV assembled in B.
TV from V + TV from B = constant.
Fact : Assembler of B has decreased.
Conclusion : so TV from V has increased.
Assumption : TV from B should have strong relation with number of assembler.
among options , i dont think anything is accurate .. i would choose C) as it is little close
1.
It is true of both men and women that those who marry as young adults live longer than those who never marry. This dose not show that marriage causes people to live longer, since, as compared with other people of the same age, young adults who are about to get married have fewer of the unhealthy habits that can cause a person to have a shorter life, most notably smoking and immoderate drinking of alcohol.
Which of the following, if true, most strengthens the argument above?
A. Marriage tends to cause people to engage less regularly in sports that involve risk of bodily harm.
B. A married person who has an unhealthy habit is more likely to give up that habit than a person with the same habit who is unmarried.
C. A person who smokes is much more likely than a nonsmoker to marry a person who smokes at the time of marriage, and the same is true for people who drink alcohol immoderately.
D. Among people who marry as young adults, most of those who give up an unhealthy habit after marriage do not resume the habit later in life.
E. Among people who as young adults neither drink alcohol immoderately nor smoke, those who never marry live as long as those who marry.
2.
The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a droip in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.
Which of the following is an assumption on which the argument depends?
A. The number of television assemblers in Vernland has increased by at least as much as the number of television assemblers in Borodia has decreased.
B. Televisions assembled in Vernland have features that televisions assembled in Borodia do not have.
C. The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
D. The number of televisions assembled annually in Vernland has increased
significantly during the past three years.
E. The difference between the hourly wage of television assemblers in Vernland and the hourly wage of television assemblers in Borodia is likely to decrease in the next few years.
1. E. Among people who as young adults neither drink alcohol immoderately nor smoke, those who never marry live as long as those who marry.
The conclusion of the passage is that marriage doesn't result longevity. Other options someway or the other convey that this is a cause-effect situation. This option correctly brings out the comparision that marriage doesn't cause longevity.
2. C. The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
Passage states that the number of assembler has decreased in Borodia. But if they become more efficient(decrease in assembling hour) then still there won't be reduction in TV's assembled in Borodia. Option C removes this case.
1.
It is true of both men and women that those who marry as young adults live longer than those who never marry. This dose not show that marriage causes people to live longer, since, as compared with other people of the same age, young adults who are about to get married have fewer of the unhealthy habits that can cause a person to have a shorter life, most notably smoking and immoderate drinking of alcohol.
Which of the following, if true, most strengthens the argument above?
A. Marriage tends to cause people to engage less regularly in sports that involve risk of bodily harm.
B. A married person who has an unhealthy habit is more likely to give up that habit than a person with the same habit who is unmarried.
C. A person who smokes is much more likely than a nonsmoker to marry a person who smokes at the time of marriage, and the same is true for people who drink alcohol immoderately.
D. Among people who marry as young adults, most of those who give up an unhealthy habit after marriage do not resume the habit later in life.
E. Among people who as young adults neither drink alcohol immoderately nor smoke, those who never marry live as long as those who marry.
2.
The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a droip in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.
Which of the following is an assumption on which the argument depends?
A. The number of television assemblers in Vernland has increased by at least as much as the number of television assemblers in Borodia has decreased.
B. Televisions assembled in Vernland have features that televisions assembled in Borodia do not have.
C. The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
D. The number of televisions assembled annually in Vernland has increased
significantly during the past three years.
E. The difference between the hourly wage of television assemblers in Vernland and the hourly wage of television assemblers in Borodia is likely to decrease in the next few years.
For Question 1: Answer should be E. The conclusion is "This dose not show that marriage causes people to live longer" -- option E clearly supports this conclusion by giving an alternate scenario where the result is not dependent on marriage.
For Question 2: Answer should be C. In this question, if we negate means if we do just the opposite of information present in C then it clearly weakens the argument... i.e. if we say that the productivity of the Borodia assemblers increased during the same time then the overall production would not have decreased at all.
1.
It is true of both men and women that those who marry as young adults live longer than those who never marry. This dose not show that marriage causes people to live longer, since, as compared with other people of the same age, young adults who are about to get married have fewer of the unhealthy habits that can cause a person to have a shorter life, most notably smoking and immoderate drinking of alcohol.
Which of the following, if true, most strengthens the argument above?
A. Marriage tends to cause people to engage less regularly in sports that involve risk of bodily harm.
B. A married person who has an unhealthy habit is more likely to give up that habit than a person with the same habit who is unmarried.
C. A person who smokes is much more likely than a nonsmoker to marry a person who smokes at the time of marriage, and the same is true for people who drink alcohol immoderately.
D. Among people who marry as young adults, most of those who give up an unhealthy habit after marriage do not resume the habit later in life.
E. Among people who as young adults neither drink alcohol immoderately nor smoke, those who never marry live as long as those who marry.
2.
The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a droip in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.
Which of the following is an assumption on which the argument depends?
A. The number of television assemblers in Vernland has increased by at least as much as the number of television assemblers in Borodia has decreased.
B. Televisions assembled in Vernland have features that televisions assembled in Borodia do not have.
C. The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
D. The number of televisions assembled annually in Vernland has increased
significantly during the past three years.
E. The difference between the hourly wage of television assemblers in Vernland and the hourly wage of television assemblers in Borodia is likely to decrease in the next few years.
1. E strengthens the argument by testifying that unmarried people without unhealthy habits live longer
2. C
1.
It is true of both men and women that those who marry as young adults live longer than those who never marry. This dose not show that marriage causes people to live longer, since, as compared with other people of the same age, young adults who are about to get married have fewer of the unhealthy habits that can cause a person to have a shorter life, most notably smoking and immoderate drinking of alcohol.
Which of the following, if true, most strengthens the argument above?
A. Marriage tends to cause people to engage less regularly in sports that involve risk of bodily harm.
B. A married person who has an unhealthy habit is more likely to give up that habit than a person with the same habit who is unmarried.
C. A person who smokes is much more likely than a nonsmoker to marry a person who smokes at the time of marriage, and the same is true for people who drink alcohol immoderately.
D. Among people who marry as young adults, most of those who give up an unhealthy habit after marriage do not resume the habit later in life.
E. Among people who as young adults neither drink alcohol immoderately nor smoke, those who never marry live as long as those who marry.
2.
The average hourly wage of television assemblers in Vernland has long been significantly lower than that in neighboring Borodia. Since Borodia dropped all tariffs on Vernlandian televisions three years ago, the number of televisions sold annually in Borodia has not changed. However, recent statistics show a drop in the number of television assemblers in Borodia. Therefore, updated trade statistics will probably indicate that the number of televisions Borodia imports annually from Vernland has increased.
Which of the following is an assumption on which the argument depends?
A. The number of television assemblers in Vernland has increased by at least as much as the number of television assemblers in Borodia has decreased.
B. Televisions assembled in Vernland have features that televisions assembled in Borodia do not have.
C. The average number of hours it takes a Borodian television assembler to assemble a television has not decreased significantly during the past three years.
D. The number of televisions assembled annually in Vernland has increased
significantly during the past three years.
E. The difference between the hourly wage of television assemblers in Vernland and the hourly wage of television assemblers in Borodia is likely to decrease in the next few years.
OAs Highlighted.
For 2nd CR,
I thought that the assumption lies in the fact that, since assemblers charge more in Borodia, it so turns out to be that getting televisions assembled in Vernland is cheaper whenever imported from there. And stating that hourly wages of assemblers in Borodia havent decreased, supports this assumption.
Next
Theater Critic: The play La Finestrina, now at Central Theater, was written in Italy in the eighteenth century. The director claims that this production is as similar to the original production as is possible in a modern theater. Although the actor who plays Harlequin the clown gives a performance very reminiscent of the twentieth-century American comedian Groucho Marx, Marx's comic style was very much within the comic acting tradition that had begun in sixteenth-century Italy.
The considerations given best serve as part of an argument that
(A) modern audiences would find it hard to tolerate certain characteristics of a historically accurate performance of an eighteenth-century play
(B) Groucho Marx once performed the part of the character Harlequin in La Finestrina
(C) in the United States the training of actors in the twentieth century is based on principles that do not differ radically from those that underlay the training of actors in eighteenth-century Italy
(D) the performance of the actor who plays Harlequin in La Finestrina does not serve as evidence against the director's claim
(E) the director of La Finestrina must have advised the actor who plays Harlequin to model his performance on comic performances of Groucho Marx
Need Help for the following CR :
Everyone who has graduated from TopNotch High School has an intelligence quotient (IQ) of over 120. Most students with an IQ of over 120 and all students with an IQ of over 150 who apply to one or more Ivy League universities are accepted by at least one of them.
The statements above, if true, best support which of the following conclusions?
1)Every graduate of TopNotch High School with an IQ of 150 has been accepted by at least one Ivy-League university.
2)If a person is a high-school graduate and has an IQ of less than 100, he or she could not have been a student at TopNotch High School.
3)If a person has an IQ of 130 and is attending an Ivy-League university, it is possible for him or her to have graduated from TopNotch High School.
4)At least one graduate from TopNotch high school who has applied to at least one Ivy-League university has been accepted to one of them.
5)If a high-school graduate has an IQ of 150 and is not attending an Ivy-League university, then he or she did not apply to one of them
Next
Theater Critic: The play La Finestrina, now at Central Theater, was written in Italy in the eighteenth century. The director claims that this production is as similar to the original production as is possible in a modern theater. Although the actor who plays Harlequin the clown gives a performance very reminiscent of the twentieth-century American comedian Groucho Marx, Marx's comic style was very much within the comic acting tradition that had begun in sixteenth-century Italy.
The considerations given best serve as part of an argument that
(A) modern audiences would find it hard to tolerate certain characteristics of a historically accurate performance of an eighteenth-century play
(B) Groucho Marx once performed the part of the character Harlequin in La Finestrina
(C) in the United States the training of actors in the twentieth century is based on principles that do not differ radically from those that underlay the training of actors in eighteenth-century Italy
(D) the performance of the actor who plays Harlequin in La Finestrina does not serve as evidence against the director's claim
(E) the director of La Finestrina must have advised the actor who plays Harlequin to model his performance on comic performances of Groucho Marx
My take is in bold.
The director is trying to say that his play is a modern adaptation (which he has probably done to suit the taste of the modern audience.), The critic is refuting it saying that the performance is similar to Groucho's who has an 18th century style, in effect making the play not as modern as the director claims.
So, maybe the play being modern in this case is important as both, the director and critic are concerned about that.
Options B,C,E are besides the point.
Option D sounds correct, but I don't think that's what the question is asking.
Please point out if I am thinking in the wrong direction. I'll be glad.

My take is in bold.
The director is trying to say that his play is a modern adaptation (which he has probably done to suit the taste of the modern audience.), The critic is refuting it saying that the performance is similar to Groucho's who has an 18th century style, in effect making the play not as modern as the director claims.
So, maybe the play being modern in this case is important as both, the director and critic are concerned about that.
Options B,C,E are besides the point.
Option D sounds correct, but I don't think that's what the question is asking.
Please point out if I am thinking in the wrong direction. I'll be glad.
I am sorry to say but your choice is incorrect. Option A is toooooo much out of the way. We cannot infer anything about the modern audiences from this question stem.
This is a MAIN point CR. We have to look for keywords here (words like 'Although', which is present here, are known as Keywords and give us crucial information.
When I approach a CR, almost every time I look for the correct answer rather than looking for wrong choices and eliminating them..
But! -- here I took the alternate approach. I went through all choices and got down to only 'C' and 'D'. Then read the CR again. You can see, option C is also very very broad. We cannot generalize about the WHOLE 'training of actors ' in USA and ITALY.
Ultimately chose option D. To me this is the correc choice because the author uses this to defend the main point of the Director. The key is to look for subtle changes.
PS: you said the critic is refuting. This is not the language of the CR. Read again and you will understand.
Ultimately chose option D. To me this is the correc choice because the author uses this to defend the main point of the Director. The key is to look for subtle changes.
PS: you said the critic is refuting. This is not the language of the CR. Read again and you will understand.
Thats the correct option and explanation. OA is D)
Need Help for the following CR :
Everyone who has graduated from TopNotch High School has an intelligence quotient (IQ) of over 120. Most students with an IQ of over 120 and all students with an IQ of over 150 who apply to one or more Ivy League universities are accepted by at least one of them.
The statements above, if true, best support which of the following conclusions?
1)Every graduate of TopNotch High School with an IQ of 150 has been accepted by at least one Ivy-League university.
2)If a person is a high-school graduate and has an IQ of less than 100, he or she could not have been a student at TopNotch High School.
3)If a person has an IQ of 130 and is attending an Ivy-League university, it is possible for him or her to have graduated from TopNotch High School.
4)At least one graduate from TopNotch high school who has applied to at least one Ivy-League university has been accepted to one of them.
5)If a high-school graduate has an IQ of 150 and is not attending an Ivy-League university, then he or she did not apply to one of them
Option 1) -> Every graduate of TopNotch with IQ above 150 neednt apply to Ivy Leagues. So this is incorrect.
Option 2) -> Not enough data to deduce anything abt people with IQ less than 100.
Option 3) -> This is correct.
Option 4) -> It could be that TopNotch doesnt have a single person of IQ more than 150, and all those above 120 who applied were not accepted.
Option 5) -> Its possible for graduates with IQ above 150 to have applied and been accepted in Ivy Leagus, but DID NOT JOIN thereafter.
Recently, many critics of the U.S. government have pointed out that this country is the only industrialized nation without a national vaccine laboratory and suggested that this lack makes the American public more vulnerable than other advanced nations to diseases such as avian flu or other flu epidemics. When asked at a press conference, a government official said these critics were disloyal and thus wrong about the publics vulnerability. To support his claim, he cited the international pre-eminence of American doctors and hospitals as well as the middle ranking of the United States among United Nation member nations in the health categories of infant mortality, life span, and nutrition. He also added that all of the Europeans that he knew preferred to undergo major medical treatments in the United States rather than in the socialized medical systems in place in their home countries. All of the following are flaws in the officials logic EXCEPT:
The official accepts that the quality of physicians and hospitals is a major factor, albeit not the only one, affecting the publics vulnerability to disease.
The critics could be disloyal but not wrong.
The Europeans that the official cited are overwhelmingly wealthy males over the age of fifty.
The official relies on health statistics that are based on a complete accounting of deaths, injuries, and illnesses suffered by the American public from all causes, including the ten percent attributable to infectious diseases.
The UN health ranking that the official cited is based on an almost complete survey of the nations of the world.
I think this question has already been discussed in this forum. Anyways,
the correct answer should be option A.
Logic -- read once and clearly all the options are pointing one flaw or the other.
If anyone is interested to know the complete reasoning then please reply here. I'll post it anon. π
Need Help for the following CR :
Everyone who has graduated from TopNotch High School has an intelligence quotient (IQ) of over 120. Most students with an IQ of over 120 and all students with an IQ of over 150 who apply to one or more Ivy League universities are accepted by at least one of them.
The statements above, if true, best support which of the following conclusions?
1)Every graduate of TopNotch High School with an IQ of 150 has been accepted by at least one Ivy-League university.
2)If a person is a high-school graduate and has an IQ of less than 100, he or she could not have been a student at TopNotch High School.
3)If a person has an IQ of 130 and is attending an Ivy-League university, it is possible for him or her to have graduated from TopNotch High School.
4)At least one graduate from TopNotch high school who has applied to at least one Ivy-League university has been accepted to one of them.
5)If a high-school graduate has an IQ of 150 and is not attending an Ivy-League university, then he or she did not apply to one of them
Could get to option B and C. Option B is incorrect because we cannot infer anything about people who failed to graduate from TopNotch high school. The question clearly says that people WHO GRADUATED have IQ of 120+.
Correct answer should be option C.
rest of the options are too strong to be inferred from this stem.
one from my side.
Country X imposes heavy tariffs on imported manufactured goods. Company Y has determined that it could increase its profits in the long term by opening a factory in Country X to manufacture the goods that it currently produces in its home country for sale in Country X. For Company Y's determination to be true,
which of the following assumptions must also be true?
A) Company Y will be able to obtain all the necessary permits to open a factory in Country X.
B) Company Y currently produces no goods outside its home country.
C) A sustainable market for Company Y's goods currently exists in Country X.
D) Company Y's home country does not impose tariffs on imported goods.
E) Labor costs in Country X are lower than those in Company Y's home country.
Recently, many critics of the U.S. government have pointed out that this country is the only industrialized nation without a national vaccine laboratory and suggested that this lack makes the American public more vulnerable than other advanced nations to diseases such as avian flu or other flu epidemics. When asked at a press conference, a government official said these critics were disloyal and thus wrong about the publics vulnerability. To support his claim, he cited the international pre-eminence of American doctors and hospitals as well as the middle ranking of the United States among United Nation member nations in the health categories of infant mortality, life span, and nutrition. He also added that all of the Europeans that he knew preferred to undergo major medical treatments in the United States rather than in the socialized medical systems in place in their home countries. All of the following are flaws in the officials logic EXCEPT:
The official accepts that the quality of physicians and hospitals is a major factor, albeit not the only one, affecting the publics vulnerability to disease.
The critics could be disloyal but not wrong.
The Europeans that the official cited are overwhelmingly wealthy males over the age of fifty.
The official relies on health statistics that are based on a complete accounting of deaths, injuries, and illnesses suffered by the American public from all causes, including the ten percent attributable to infectious diseases.
The UN health ranking that the official cited is based on an almost complete survey of the nations of the world.
I will choose option E for the above CR.If the UN health report is complete or reliable,it strengthens official's claim.
-Deepak.
one from my side.
Country X imposes heavy tariffs on imported manufactured goods. Company Y has determined that it could increase its profits in the long term by opening a factory in Country X to manufacture the goods that it currently produces in its home country for sale in Country X. For Company Ys determination to be true,
which of the following assumptions must also be true?
A) Company Y will be able to obtain all the necessary permits to open a factory in Country X.
B) Company Y currently produces no goods outside its home country.
C) A sustainable market for Company Ys goods currently exists in Country X.
D) Company Ys home country does not impose tariffs on imported goods.
E) Labor costs in Country X are lower than those in Company Ys home country.
I will choose option E for the above CR. If the costs in X are higher then the long term profits will come to question.
-Deepak.
Recently, many critics of the U.S. government have pointed out that this country is the only industrialized nation without a national vaccine laboratory and suggested that this lack makes the American public more vulnerable than other advanced nations to diseases such as avian flu or other flu epidemics. When asked at a press conference, a government official said these critics were disloyal and thus wrong about the publics vulnerability. To support his claim, he cited the international pre-eminence of American doctors and hospitals as well as the middle ranking of the United States among United Nation member nations in the health categories of infant mortality, life span, and nutrition. He also added that all of the Europeans that he knew preferred to undergo major medical treatments in the United States rather than in the socialized medical systems in place in their home countries. All of the following are flaws in the officials logic EXCEPT:
The official accepts that the quality of physicians and hospitals is a major factor, albeit not the only one, affecting the publics vulnerability to disease. this is something which proves flaw in official's claim
The critics could be disloyal but not wrong.
The Europeans that the official cited are overwhelmingly wealthy males over the age of fifty.
The official relies on health statistics that are based on a complete accounting of deaths, injuries, and illnesses suffered by the American public from all causes, including the ten percent attributable to infectious diseases.
The UN health ranking that the official cited is based on an almost complete survey of the nations of the world
OA is in bold!!
Second time in last two weeks you made me check my answer again.
DUDE, this question is from Manhattan CR. The BOOK SAYS -- answer is A
I will choose option E for the above CR. If the costs in X are higher then the long term profits will come to question.
-Deepak.
Sorry. that's incorrect!
one from my side.
Country X imposes heavy tariffs on imported manufactured goods. Company Y has determined that it could increase its profits in the long term by opening a factory in Country X to manufacture the goods that it currently produces in its home country for sale in Country X. For Company Y's determination to be true,
which of the following assumptions must also be true?
A) Company Y will be able to obtain all the necessary permits to open a factory in Country X.
B) Company Y currently produces no goods outside its home country.
C) A sustainable market for Company Y's goods currently exists in Country X.
D) Company Y's home country does not impose tariffs on imported goods.
E) Labor costs in Country X are lower than those in Company Y's home country.
Take in bolds.
No profits if there aint no market!