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# For a ten-month period, the total monthly sales of new cars

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Re: Marvel Automobile Company's sales [#permalink]  17 Sep 2010, 09:02
Other options may or may not be true, but A can not be true.

If the market share of X has decreased and its sale revenue is constant, then the combined sales of other companies can not decrease.

Suppose market share of X is 60% and its sale revenue is 60k. It implies other companies have total revenue = 40k

its market share reduced to 30% but the sale revenue is still 60k, it implies other companies have market share = 70% i.e. 70k. If this is reduced market share of X would increase.
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Re: Marvel Automobile Company's sales [#permalink]  06 May 2011, 03:03
simple A .though consumed 1:58 min
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Re: Marvel Automobile Company's sales [#permalink]  16 May 2011, 23:27
If A is true,means the companies market share cannot decrease as mentioned.

A is clean.
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Re: Marvel Automobile Company's sales [#permalink]  17 May 2011, 18:59
After about 3 mins of brain storming A comes out as the winner.
If Sales remain constant and market share decreases then competitors have increased their market share. Which is exactly the opposite of what is happening in the case of A
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Re: Marvel Automobile Company's sales [#permalink]  18 May 2011, 02:56
A

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Re: Marvel Automobile Company's sales [#permalink]  09 Jun 2011, 04:19
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Re: Marvel Automobile Company's sales [#permalink]  09 Jun 2011, 05:51
ykaiim wrote:
For a ten-month period, the total monthly sales of new cars within the country of Calistan remained constant. During this period the monthly sales of new cars manufactured by Marvel Automobile Company doubled, and its share of the new car market within Calistan increased correspondingly. At the end of this period, emission standards were imposed on new cars sold within Calistan. During the three months following this imposition, Marvel Automobile Company’s share of the Calistan market declined substantially even though its monthly sales within Calistan remained constant at the level reached in the last month of the ten-month period.

If the statements above are true, which one of the following CANNOT be true?
(A) The total monthly sales within Calistan of new cars by companies other than Marvel Automobile Company decreased over the three months following the imposition of the emission standards.
(B) Over the three months before the imposition of the emission standards, the combined market share of companies other than Marvel Automobile Company selling new cars in Calistan decreased.
(C) If the emission standards had not been imposed, Marvel Automobile Company would have lost an even larger share of the number of new cars sold in Calistan than, in fact, it did.
(D) A decrease in the total monthly sales of new cars within Calistan will occur if
the emission standards remain in effect.
(E) Since the imposition of the emission standards, Marvel Automobile Company’s average profit on each new car sold within Calistan has increased.

The figure in the 10 month period indicates a direct correlation between the Sales of car AND the market share of its manufacturer.
Inference from the study of car sales and market share in the 10 month period: Market share is directly proportional to number of cars sold.

After the imposition:
Marvel's sales didn't decrease but the market share did w.r.t. other manufacturers. This conveys that the other companies sold relatively more cars than Marvel did.

"A" says the opposite.

Ans: "A"
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Re: Marvel Automobile Company's sales [#permalink]  09 Jun 2011, 19:38
A
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Re: Marvel Automobile Company's sales [#permalink]  10 Jun 2011, 06:24
A is the quick answer for me.
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Re: Marvel Automobile Company's sales [#permalink]  09 Sep 2011, 02:59
A can not be true
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Re: Marvel Automobile Company's sales [#permalink]  09 Sep 2011, 13:59
I picked A.

Conclusion: After the new emission standards, sales remained the same for Marvel and its market share decreased.
Therefore the only possibility is that the other companies gained market share and increased their sales. The answer that contradicts this statement is the correct answer.
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Re: Marvel Automobile Company's sales [#permalink]  10 Sep 2011, 01:12
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Re: Marvel Automobile Company's sales [#permalink]  10 Sep 2011, 06:44
I picked E but now think that A is correct...
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Re: Marvel Automobile Company's sales [#permalink]  10 Sep 2011, 07:12
Awesome question. A is the answer.
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Re: Marvel Automobile Company's sales [#permalink]  10 Sep 2011, 11:51
seekmba wrote:
I was lost in the premise and then in the answer choices.

can someone suggest a better and quicker way of approaching such questions?

well, the quickest approach would be to just ignore anything that is out of scope and cannot be proven wrong based on the info given. C,D,E are all out of scope and, thus, irrelevant. B is actually quite possible.

premise: marvel's share declined after imposition.
premise: marvel's monthly sales remained constant.

therefore, A cannot be true based on the above two premises
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Re: For a ten-month period, the total monthly sales of new cars [#permalink]  30 Jan 2013, 02:53
E.g. : Marvel produces and sells 100 cars over a market of 1000 total cars sold every year.

During the 10 month period, Marvel's share increases to 200 cars over 1000.

Now, after the restrictions Marvel still has the same share of 20%, even though it sells LESS cars. The total number of cars sold by other companies must therefore have adapted, remaining in the same ratio.

If the other's companies share were to decrease, Marvel's would have risen, and viceversa.

Since Marvel's share does not change, A cannot be true.
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Re: For a ten-month period, the total monthly sales of new cars   [#permalink] 30 Jan 2013, 02:53
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