Find all School-related info fast with the new School-Specific MBA Forum

It is currently 25 Oct 2014, 14:07

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

Lightbox, Inc., owns almost all of the movie theaters in

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
Manager
Manager
avatar
Joined: 08 Apr 2004
Posts: 137
Location: Corea
Followers: 1

Kudos [?]: 100 [0], given: 0

Lightbox, Inc., owns almost all of the movie theaters in [#permalink] New post 20 Sep 2004, 05:01
00:00
A
B
C
D
E

Difficulty:

(N/A)

Question Stats:

0% (00:00) correct 0% (00:00) wrong based on 1 sessions
Lightbox, Inc., owns almost all of the movie theaters in Washington County and has announced plans to double the number of movie screens it has in the county within five years. Yet attendance at Lightbox’s theaters is only just large enough for profitability now and the county’s population is not expected to increase over the next ten years. Clearly, therefore, if there is indeed no increase in population, Lightbox’s new screens are unlikely to prove profitable.

Which of the following, if true about Washington County, most seriously weakens the argument?

A. Though little change in the size of the population is expected, a pronounced shift toward a younger, more affluent, and more entertainment-oriented population is expected to occur.
B. The sales of snacks and drinks in its movie theaters account for more of Lightbox’s profits than ticket sales do.
C. In selecting the mix of movies shown at its theaters, Lightbox’s policy is to avoid those that appeal to only a small segment of the moviegoing population.
D. Spending on video purchases, as well as spending on video rentals, is currently no longer increasing.
E. There are no population centers in the county that are not already served by at least one of the movie theaters that Lightbox owns and operates.
Director
Director
User avatar
Joined: 05 May 2004
Posts: 577
Location: San Jose, CA
Followers: 2

Kudos [?]: 28 [0], given: 0

Re: CR : movie theater [#permalink] New post 20 Sep 2004, 14:32
I think it is A

The arg says that "attendance at Lightbox’s theaters is only just large enough for profitability now "
People will buy snacks/drinks only when they visit the theatre. If the number of people visiting theatres donot increase .... the sales for food and drinks will also not increase.
A gives a reason that might bring more crowd to theatres in future and hence can make the theatre expansion project justifiable!
GMAT Club Legend
GMAT Club Legend
avatar
Joined: 15 Dec 2003
Posts: 4318
Followers: 23

Kudos [?]: 174 [0], given: 0

 [#permalink] New post 20 Sep 2004, 14:43
Absolutely A. B justifies the author's claim since ticket sales are lower, there will be no reason to increase the number of screens
_________________

Best Regards,

Paul

GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 07 Jul 2004
Posts: 5095
Location: Singapore
Followers: 19

Kudos [?]: 155 [0], given: 0

 [#permalink] New post 20 Sep 2004, 18:03
A. Though little change in the size of the population is expected, a pronounced shift toward a younger, more affluent, and more entertainment-oriented population is expected to occur.
- We're told there is going to be a shift in theater-goers to younger more affluent and more entertainment oriented population. New theaters could serve this population or lightbox can capitalize by screening more shows that cater to this population at its new theaters. At the end of the day, profit is still viable.

B. The sales of snacks and drinks in its movie theaters account for more of Lightbox’s profits than ticket sales do.
- Even if this is true, you still need a population large enough to visit the extra cinemas that are going to pop up. B is out.

C. In selecting the mix of movies shown at its theaters, Lightbox’s policy is to avoid those that appeal to only a small segment of the moviegoing population.
- Still dependent on population filling up the extra spaces. C is out.

D. Spending on video purchases, as well as spending on video rentals,is currently no longer increasing.
- Out of scope

E. There are no population centers in the county that are not already served by at least one of the movie theaters that Lightbox owns and operates.
- all the more reason not to build extra theaters unless population increases. E is out.

A is my choice.
  [#permalink] 20 Sep 2004, 18:03
    Similar topics Author Replies Last post
Similar
Topics:
1 Lightbox, Inc., owns almost all of the movie theaters in ilhht 8 09 Mar 2009, 21:19
Lightbox, Inc., owns almost all of the movie theaters in az780 6 08 Feb 2008, 06:47
Lightbox, Inc., owns almost all of the movie theaters in nakib77 1 17 Dec 2005, 10:37
Lightbox, Inc., owns almost all of the movie theaters in nakib77 5 17 Dec 2005, 10:37
Lightbox, Inc., owns almost all of the movie theaters in 700slave 3 27 Jul 2005, 21:33
Display posts from previous: Sort by

Lightbox, Inc., owns almost all of the movie theaters in

  Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Privacy Policy| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.