avohden wrote:
From an article in the Wall Street Chronicle: Sales statistics of major
electronics manufacturers with sales in the United States show that
80% of consumer electronics (such as televisions, DVD players, and
computers) sold in the U.S. last year were manufactured in China.
From an article in Consumer Results Magazine: The results from last
year's survey on consumer electronics choices show that while products
made in China are still very popular, more and more Americans are
buying products made in Japan, Germany, and the United States.
These three countries combined account for 38% of products sold
in the U.S. last year.
For both of the findings to be accurate, which of the following must be true?
(A) More Americans who do not purchase consumer electronics prefer
goods produced in China to those produced elsewhere.
(B) Major electronics manufacturers do not limit their production plants
to one country, often dividing different stages of manufacturing among
plants around the world.
(C) Most consumer electronics purchased last year that were not
manufactured in China were manufactured and sold in the United States.
(D) The average price of a Chinese-manufactured consumer electronics
device is lower than that of a device manufactured elsewhere.
(E) Major electronics manufacturers sell a higher percentage of
Chinese-produced consumer devices than do smaller manufacturers.
Source: GMAT Hacks - 020513
OE to follow ...
Ok, this took a while!
Wall Street claim: 80% electronics sold in the US--> manufactured in China-----> 80% sales
Magazine survey: Yes, but more americans are buying from Japan, Germany, and the United States---> 38% of sales
A - While this is true, but the magazine survey says that more americans also prefer goods from Japan, Germany and US. Not true
B- production plants tell me nothing about sales. I can have a million production plants and still sell nothing
C- First claim says that 80% of sales were items manufactured in china. Not true
D- Tricky. You would think that since the average price is less for chinese manufactured product sales would be higher and this would be true. But none of the statements in the above claims say that people will buy even if the price is low. We cant infer this. Not true
E - Now if major manufacturers sell a higher % of chinese manufactured products (80%), than smaller manufacturers (small because Japan, US and Germany together count for only 38%). This is it
I tried!