eybrj2 wrote:
In order to promote off-season business, Mt. Dunmore Lodge made the following "Welcome Back" offer to their winter guests: guests who rent a room for at least a week during ski season can come back during the summer and get 25% off the standard summer price of any room they rent. After the summer passed, the owners of the lodge determined that the majority of their guests had taken advantage of the "Welcome Back" offer and paid the reduced rates. However, they were surprised to find they still managed to rent more rooms at full price than they did at the discount rate.
Which of the following, if true, most helps to explain the apparent discrepancy ?
(A) Most of the guests who stayed at Mt. Dunmore Lodge during the winter did not stay for a full week.
(B) Those guests taking advantage of the "Welcome Back" discount were more likely to bring their families with them than were those guests who were paying full price.
(C) Some of the guests who received the "Welcome Back" discount also received a 10% rate reduction through their auto club.
(D) In order to pay for the construction of a new gymnasium and a new pool, the owners of the lodge raised their summer prices considerably.
(E) On average, guests who took advantage of the "Welcome Back" discount spent more money at the hotel on additional goods and services than guests who paid full price for their rooms.
In my opinion, it is not a high quality question. Here is my analysis of the problems:
"Welcome Back" offer to WINTER guests (ski season guests):
Stay for a week now, come back in summer and get 25% off the price of any room you rent
The majority of their guests (winter guests to whom this offer was extended) had taken advantage of the "Welcome Back" offer. - So of the winter guests, more than 50% came back in summer.
However, they still managed to rent more rooms at full price than they did at the discount rate.
It is certainly unexpected that in the off season, they still managed to rent out more rooms at full price than they did at discount even though majority of their winter guests came back.
Let's look for an option that resolves this.
(A) Most of the guests who stayed at Mt. Dunmore Lodge during the winter did not stay for a full week.
The argument says that majority of the guests took up the offer. So they stayed for a whole week or more. So this is against the argument. If the argument meant that of the people who stayed for more than a week, majority took up the offer (and if most of the guests did not stay for a week), then where is the discrepancy. If few people stayed for a week and half of them took up the offer, it is quite likely that more rooms will go on full rate.
So either way, I do not understand this option at all.
(B) Those guests taking advantage of the "Welcome Back" discount were more likely to bring their families with them than were those guests who were paying full price.
What does "bring in families" mean? I would assume immediate family (husband, wife, kids) and usually they rent a single family room. Also, if they do rent multiple rooms, will they not get discount on those? Not sure. "25% off any room they rent" could easily mean any number of rooms.
Yes, instead of family, "friends" or "colleagues" would have made more sense since one would expect friends to make their reservations separately and on their own. I am not convinced of this option.
(C) Some of the guests who received the "Welcome Back" discount also received a 10% rate reduction through their auto club.
Extra discounts are irrelevant. Number of rooms rented on discount are being discussed.
(D) In order to pay for the construction of a new gymnasium and a new pool, the owners of the lodge raised their summer prices considerably.
If the summer prices were actually raised, it is even more of a surprise that more people rented at full price.
(E) On average, guests who took advantage of the "Welcome Back" discount spent more money at the hotel on additional goods and services than guests who paid full price for their rooms.
Extra spending is irrelevant. Number of rooms rented on discount are being discussed.
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