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Need a solid proof

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Director
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Need a solid proof [#permalink] New post 15 Jan 2008, 22:02
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Need a solid proof .
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CEO
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Re: DS - Stocks and Shares [#permalink] New post 15 Jan 2008, 22:14
C

s - the number of shares of stock
b - the number of bonds

1. [s/(s+b)]↑: it is possible when s↑ and b=constant or b↑ and s=constant. INSUFF.
2.(s+b)↑: it is possible when s↑ and b=constant or b↑ and s=constant. INSUFF.
1&2. [s/(s+b)↑]↑: (s+b)↑, so is s↑ to satisfy first condition
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CEO
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Re: DS - Stocks and Shares [#permalink] New post 15 Jan 2008, 22:52
ashkrs wrote:
Need a solid proof .


1: Could have the shares increase OR the number of bonds could have decreased. Insuff.

2: TOTAL increased. Shares could have increased or decreased. Why? b/c bonds could have increased, thus increasing the total.

Together. B/c the total increases and the ratio of stocks to bonds increases, we can't have the scenario where bonds increase and stocks decrease or the ratio of stocks to bonds would not increase.

Therefore C.
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Re: DS - Stocks and Shares [#permalink] New post 16 Jan 2008, 05:12
I think it is B, because increased amount in second statement is related particularly to shares not bonds.
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Re: DS - Stocks and Shares [#permalink] New post 16 Jan 2008, 08:34
ashkrs wrote:
Need a solid proof .


a/a+b increases only when a increases and b remains constant or both a and b increases. only C tells us that fact.
Re: DS - Stocks and Shares   [#permalink] 16 Jan 2008, 08:34
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