If retail stores experience a decrease in revenues during : GMAT Critical Reasoning (CR)
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# If retail stores experience a decrease in revenues during

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If retail stores experience a decrease in revenues during [#permalink]

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13 Apr 2010, 19:14
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If retail stores experience a decrease in revenues during this holiday season, then either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level most people can afford. If attitudes have changed, then we all have something to celebrate this season. If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year.
Assume the premises above to be true. If salaries have kept pace with rising prices during the past year, which one of the following must be true?
(A) Attitudes toward extravagant gift-giving have changed.
(B) Retail stores will not experience a decrease in retail sales during this holiday season.
(C) Prices in retail stores have not risen beyond the level that most people can afford during this holiday season.
(D) Attitudes toward extravagant gift-giving have not changed, and stores will not experience a decrease in revenues during this holiday season.
(E) Either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level that most people can afford during this holiday season.

Can someone give detailed explanations for elimination or choice of an option?
Thanks
[Reveal] Spoiler: OA
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13 Apr 2010, 22:22
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C

prices have risen beyond the level most people can afford as salaries have not kept pace with rising prices .
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13 Apr 2010, 22:42
the answer must be C in my opinion.
(C) Prices in retail stores have not risen beyond the level that most people can afford during this holiday season.

If salaries have kept pace with rising prices during the past year, only the above mentioned statement follows, out of the given five.
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14 Apr 2010, 01:32
I go with C too.
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14 Apr 2010, 18:27
should be (C)
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15 Apr 2010, 06:47
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C.

Reason:

Premise: If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year. (If X, then Y)

Assumption: Salaries have kept pace with rising prices during the past year (Not Y)

Conclusion: Prices haven't risen beyong the level most people can afford (Not X)
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15 Apr 2010, 07:51
Very clear explanation. +1!

calvinhobbes wrote:
C.

Reason:

Premise: If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year. (If X, then Y)

Assumption: Salaries have kept pace with rising prices during the past year (Not Y)

Conclusion: Prices haven't risen beyong the level most people can afford (Not X)
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16 Apr 2010, 00:32
my vote for C as well. All other options make definitive statements that cannot be extrapolated from the given evidence. POE question.
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09 Jul 2010, 00:22
+1 vote to C
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09 Jul 2010, 02:01
My choice is C.
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29 Jul 2010, 21:14
If retail stores experience a decrease in revenues during this holiday season, then either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level most people can afford. If attitudes have changed, then we all have something to celebrate this season. If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year.

Decrease in revenue ------------ (Change in gift giving Policy) or ( price that people can't afford)
( Retail Sales )

(Change in gift giving Policy)---------- ( festival season )
( price that people can't afford) ----- (Salary not in pace )
A----B-----D
A----C-----E

Correct Ans - E(Not) ---- C(Not)
Salary is in Pace ----- Price can be afford by people

Correct Ans - C)
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29 Jul 2010, 22:09
only C make sense
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29 Jul 2010, 22:21
Thanks calvinhobbes fantastic explaination
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03 Oct 2010, 23:17
Why it can't be A? Can someone pls explain. Thanks.
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04 Oct 2010, 00:22
amp0201 wrote:
Why it can't be A? Can someone pls explain. Thanks.

amp0201,

We have no clue that A must be true.
stem says:Assume the premises above to be true. If salaries have kept pace with rising prices during the past year, which one of the following must be true?
so if salaries kept pace then retailers must not have risen the prices beyond... it has nothing to do with the change in the attitude

LSAT tends to puzzle us

hope it helps
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04 Oct 2010, 05:05
gmatprep09 wrote:
If retail stores experience a decrease in revenues during this holiday season, then either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level most people can afford. If attitudes have changed, then we all have something to celebrate this season. If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year.
Assume the premises above to be true. If salaries have kept pace with rising prices during the past year, which one of the following must be true?
(A) Attitudes toward extravagant gift-giving have changed.
(B) Retail stores will not experience a decrease in retail sales during this holiday season.
(C) Prices in retail stores have not risen beyond the level that most people can afford during this holiday season.
(D) Attitudes toward extravagant gift-giving have not changed, and stores will not experience a decrease in revenues during this holiday season.
(E) Either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level that most people can afford during this holiday season.

Can someone give detailed explanations for elimination or choice of an option?
Thanks

It can only be (C). A, D, and E all make the assumption that retail stores have experienced a decrease in revenue, but that is not a given piece of information - everything is IF there is a decrease in revenue. For B, you can't make that claim because there's another factor which could decrease revenues (attitudes about gift-giving have changed). You're left with C.
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Re: If retail stores experience a decrease in revenues during [#permalink]

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04 Oct 2010, 08:04
calvinhobbes wrote:
C.

Reason:

Premise: If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year. (If X, then Y)

Assumption: Salaries have kept pace with rising prices during the past year (Not Y)

Conclusion: Prices haven't risen beyong the level most people can afford (Not X)

Good one...
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07 Oct 2010, 08:15
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gmatprep09 wrote:
If retail stores experience a decrease in revenues during this holiday season, then either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level most people can afford. If attitudes have changed, then we all have something to celebrate this season. If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year.
Assume the premises above to be true. If salaries have kept pace with rising prices during the past year, which one of the following must be true?
(A) Attitudes toward extravagant gift-giving have changed.
(B) Retail stores will not experience a decrease in retail sales during this holiday season.
(C) Prices in retail stores have not risen beyond the level that most people can afford during this holiday season.
(D) Attitudes toward extravagant gift-giving have not changed, and stores will not experience a decrease in revenues during this holiday season.
(E) Either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level that most people can afford during this holiday season.

Can someone give detailed explanations for elimination or choice of an option?
Thanks

This question uses simple logic

Here we have the condition if A then B

If [prices have risen beyond the level most people can afford], then it must be that salaries have NOT kept pace with rising prices during the past year

Now if you apply negation to if A then B it becomes If Not B then Not A. (I learnt this in one of my deduction classes )
So the question stem says what happens in case of "Not B" [If salaries have kept pace with rising prices during the past year], see you dont have a not as the sentence in the question's last sentence had.

Then in this case the answer should be Not A. Which means Not [prices have risen beyond the level most people can afford]

Hence the answer has to be C.
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Re: If retail stores experience a decrease in revenues during [#permalink]

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07 Oct 2010, 08:26
gmatprep09 wrote:
If retail stores experience a decrease in revenues during this holiday season, then either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level most people can afford. If attitudes have changed, then we all have something to celebrate this season. If prices have risen beyond the level most people can afford, then it must be that salaries have not kept pace with rising prices during the past year.
Assume the premises above to be true. If salaries have kept pace with rising prices during the past year, which one of the following must be true?
(A) Attitudes toward extravagant gift-giving have changed.
(B) Retail stores will not experience a decrease in retail sales during this holiday season.
(C) Prices in retail stores have not risen beyond the level that most people can afford during this holiday season.
(D) Attitudes toward extravagant gift-giving have not changed, and stores will not experience a decrease in revenues during this holiday season.
(E) Either attitudes toward extravagant gift-giving have changed or prices have risen beyond the level that most people can afford during this holiday season.

Can someone give detailed explanations for elimination or choice of an option?
Thanks

C
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Re: If retail stores experience a decrease in revenues during [#permalink]

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07 Oct 2010, 19:49
C (Great descriptions listed above)
Re: If retail stores experience a decrease in revenues during   [#permalink] 07 Oct 2010, 19:49

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