SC: investors

ritula · **Posted:** Sat Feb 28, 2009 12:53 am


		00:00



	How to...

In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt by using the company's earnings and to profit richly by the later resale of the companies or their divisions.

A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

[Reveal] Spoiler: OA

E

nitindas · **Posted:** Sat Feb 28, 2009 3:00 am

IMO :C

x2suresh · **Posted:** Sat Feb 28, 2009 7:29 am

ritula wrote:

In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt by using the company's earnings and to profit richly by the later resale of the companies or their divisions.

A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

hoping to pay off... and <hoping> to profit

between A and E.

A is better.

"by using " .. better than "with "

JohnLewis1980 · **Posted:** Sat Feb 28, 2009 8:55 am

ritula wrote:

In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt by using the company's earnings and to profit richly by the later resale of the companies or their divisions.

A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

Hi mates,

IMO E

To maintain //ism, the last part of the answer should be "to profit", therefore just A and E left

"hoping to pay [...] and to profit [...]

Now, between A and E, E seems to be simpler than A, so, E

OA and Source?

Cheers

ritula · **Posted:** Sat Feb 28, 2009 10:02 am

any more takers?

ugimba · **Posted:** Sat Feb 28, 2009 10:14 am

I think this should be C

using the companies' earnings and profiting

companies' is used correct and followed the parallelism (using and profiting) ...

Technext · **Posted:** Sat Feb 28, 2009 12:39 pm

In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt (by using the company's earnings and to profit) richly by the later resale of the companies or their divisions.

Explanation:
-----------------------
A. by using the company's earnings and to profit ---> Incorrect use of apostrophe in the word company's.
B. by using the companies' earnings and by profiting ---> Incorrect. Not parallel in structure.
C. using the companies' earnings and profiting ---> Incorrect. Not parallel in structure.
D. with the company's earnings, profiting ---> Incorrect use of apostrophe in the word company's.
E. with the companies' earnings and to profit ---> Correct. It uses the apostrophe in the correct place to indicate that companies are involved and NOT just a company. It is also parallel in structure (...to pay off the debt... ...to profit richly...)

JohnLewis1980 has given the correct explanation for the second part.
-----------------------

Clearly option E.

Hope that helps.

Regards,
Technext

vladmoney · **Posted:** Sat Feb 28, 2009 4:50 pm

E. was my options for reasons posted above

scthakur · **Posted:** Sat Feb 28, 2009 5:27 pm

Here the parallelism is as "hoping to pay off.....by......and to profit....by...". A is the only choice left.

Hence, I will go with A.

mistermahesh · **Posted:** Sat Feb 28, 2009 7:12 pm

E

right use of apostrophe and maintains plurality

kaushik04 · **Posted:** Sat Feb 28, 2009 10:53 pm

hoping is common to both ,
to pay off the debt by using and to profit richly by the later are parallel

Hence A.

Company's is right because investors pay off the debt using one company's earnings (each company's earnings) and resale of all the companies...thats the best explanation i could think for Textnext argument.

OA please

ritula · **Posted:** Sat Feb 28, 2009 11:34 pm

OA is E

sanjay_gmat · **Posted:** Sun Mar 01, 2009 12:13 pm

ritula wrote:

OA is E

A bit late to the discussion. I thought it should be A. Do you have the OE as well?

scthakur · **Posted:** Sun Mar 01, 2009 11:56 pm

Good catch from Texhnext.

ritula · **Posted:** Mon Mar 02, 2009 6:58 am

Nope i dnt hv the OE. But Technext explained quite well

sanjay_gmat wrote:

ritula wrote:

OA is E

A bit late to the discussion. I thought it should be A. Do you have the OE as well?

vcg · **Posted:** Tue Dec 01, 2009 11:42 am

ok this is the first day i am doing . this but in this case how are we supposed to know the right answers?? how do u guys usually settle this :-)

anh231 · **Posted:** Fri Dec 04, 2009 6:43 am

I choose E

E : In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt with the companies' earnings and to profit richly by the later resale of the companies or their divisions.

The question falls in parallelism category. 'to pay off' is parallel ' to profit' . ' with the companies' earnings' is parallel to ' by the later resale', they have same structure, preposition + N.

urchin · **Posted:** Mon Dec 07, 2009 3:59 am

A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

IMO E ..... 'to profit' parallel to 'to buy'

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