Check GMAT Club Decision Tracker for the Latest School Decision Releases https://gmatclub.com/AppTrack
GMAT Club

 It is currently 24 Mar 2017, 01:22

### 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

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

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# 1) At present Satellex Radio provides only music stations.

Author Message
TAGS:

### Hide Tags

Intern
Joined: 20 Oct 2010
Posts: 10
Followers: 0

Kudos [?]: 36 [0], given: 0

### Show Tags

22 Oct 2010, 11:27
1
This post was
BOOKMARKED
00:00

Difficulty:

(N/A)

Question Stats:

38% (02:49) correct 62% (01:57) wrong based on 44 sessions

### HideShow timer Statistics

1) At present Satellex Radio provides only music stations. However, many Satellex subscribers listen to talk radio stations as well, and they would prefer that Satellex offered talk radio as well. Moreover, subscribers to radio services that provide talk radio usually subscribe for longer periods of time than those who subscribe to music-only services. Therefore, if Satellex added talk radio stations, its profits would increase.

The argument is vulnerable to criticism on the grounds that it gives reason to believe that it is likely that

(A) Satellexs large subscriber base would appeal to talk radio hosts, making it easy for Satellex to hire quality talent for its talk radio stations.
(C) Satellexs costs would rise by adding several talk-radio stations, while many of the listeners who want talk radio are already Satellex subscribers.
(D) Talk radio listeners generally spend more time on a single radio station than do listeners to music radio.
(E) If Satellex added talk radio stations, many of Satellexs music radio hosts would switch to talk-radio stations, making the music stations less appealing.

2) Zuksha International Airport was once the busiest airport in the region, but two major airlines have relocated to nearby airports, reducing the number of flights in and out of Zuksha by more than half. The gates at Zuksha were built more than thirty years ago and cannot accommodate the largest modern aircraft. In an effort to bring in more business, Zuksha officials plan to build dozens of gates to accommodate modern aircraft and offer reduced-rate leases to airlines willing to make long-term commitments.

Which of the following, if true, most threatens the plans likelihood of success?

(A) Most of the airlines operating out of nearby airports have long-term leases on gates at the other airports.
(B) The existing gates at Zuksha rent at rates that are, on average, much lower than the proposed rates for the new gates to be built there.
(C) Because of highway congestion and changing development patterns that make Zuksha inconvenient to access, airline customers prefer to depart from other airports.
(D) Of the 18 airlines that serve Zuksha or nearby airports, none serve more than one airport in the area.
(E) If the proposed addition is completed, Zuksha will be the largest airport, as measured both by gates and
square footage, in the region.
If you have any questions
New!
Intern
Joined: 15 May 2010
Posts: 15
Followers: 0

Kudos [?]: 0 [0], given: 4

### Show Tags

22 Oct 2010, 14:01
IMO:-
1> Ans. [D] - If Talk radio listeners generally spend more time on a single radio station, and as stated in the problem statement, "many Satellex subscribers listen to talk radio stations", two scenarios can happen - a) even if Satellex starts a Talk station, its existing customers will continue to listen to the other Talk stations instead of shifting to Satellex. Hence profits will not increase. b) Talk station listeners tend to listen to only one station, Satellex subscribers currently listening to their music station may switch to the Talk station, hence shifting the revenue from one station to other. Profits will not increase.

2> Ans. [C] - As stated - Zuksha is inconvenient to access . It is unlikely for the plan to work, if airline passengers do not prefer this airport, the airlines are likely to realize this and hence will not opt for Zuksha.

Please let me know if my reasoning is incorrect, will like to listen to more explanations.
Manager
Joined: 15 Apr 2010
Posts: 174
Followers: 3

Kudos [?]: 87 [0], given: 25

### Show Tags

22 Oct 2010, 15:43
(A) Satellexs large subscriber base would appeal to talk radio hosts, making it easy for Satellex to hire quality talent for its talk radio stations.
Irrelevant.

(C) Satellexs costs would rise by adding several talk-radio stations, while many of the listeners who want talk radio are already Satellex subscribers.
Those subscribers would still have to pay for the talk radio stations which may lead to increase in profits.

(D) Talk radio listeners generally spend more time on a single radio station than do listeners to music radio.
Strengthens the argument. If Satellex radio introduces talk radio, their subscribers would spend more time on that station and profits may increase.

(E) If Satellex added talk radio stations, many of Satellexs music radio hosts would switch to talk-radio stations, making the music stations less appealing.
Irrelevant.

the proposed talk radio stations and the profits of Satellex radio will not increase.
_________________

Give [highlight]KUDOS [/highlight] if you like my post.

Always do things which make you feel ALIVE!!!

Manager
Joined: 27 Mar 2010
Posts: 124
Followers: 2

Kudos [?]: 9 [0], given: 17

### Show Tags

23 Oct 2010, 23:29
IMO B and C... OA pls?
Manager
Joined: 26 Aug 2010
Posts: 70
Location: India
Followers: 3

Kudos [?]: 128 [0], given: 18

### Show Tags

24 Oct 2010, 21:35
IMO C and C. Wats the OA?
_________________

Intern
Joined: 03 Aug 2010
Posts: 4
Followers: 0

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

### Show Tags

24 Oct 2010, 22:30
C and C
Manager
Joined: 23 Nov 2009
Posts: 90
Schools: Wharton..:)
Followers: 2

Kudos [?]: 41 [0], given: 14

### Show Tags

25 Oct 2010, 01:23
1) At present Satellex Radio provides only music stations. However, many Satellex subscribers listen to talk radio stations as well, and they would prefer that Satellex offered talk radio as well. Moreover, subscribers to radio services that provide talk radio usually subscribe for longer periods of time than those who subscribe to music-only services. Therefore, if Satellex added talk radio stations, its profits would increase.

The argument is vulnerable to criticism on the grounds that it gives reason to believe that it is likely that

(A) Satellexs large subscriber base would appeal to talk radio hosts, making it easy for Satellex to hire quality talent for its talk radio stations.
(C) Satellexs costs would rise by adding several talk-radio stations, while many of the listeners who want talk radio are already Satellex subscribers.
(D) Talk radio listeners generally spend more time on a single radio station than do listeners to music radio.
(E) If Satellex added talk radio stations, many of Satellexs music radio hosts would switch to talk-radio stations, making the music stations less appealing.

--------------------------------------------------------------------------------------------------------------
ans-c
reason-debate is music stations v/s talk shows , the argument is -because the ppl subscribe for longer durations with the stations tht host talk shows , channel S will earn more profits if it switches to talk shows
the argument is weaken if the initial cost of set up exceeds the profit tht the station might earn and since ppl have already subscribed to the station S so no new customer base is created ...
this is not an air tight argument as one might content tht may be a customer would subscribe for so long a duration tht it might exceed the initial set up costs and translate into profits ..so try to find better options
a)got nothing to do with profits
b)k..the customer base goes down but may be u start earning more from advertisers ...eliminate b
d)out of scope
e) this some wht strengthens ..

-------------------------------------------------------------------------------------------------------------

2) Zuksha International Airport was once the busiest airport in the region, but two major airlines have relocated to nearby airports, reducing the number of flights in and out of Zuksha by more than half. The gates at Zuksha were built more than thirty years ago and cannot accommodate the largest modern aircraft. In an effort to bring in more business, Zuksha officials plan to build dozens of gates to accommodate modern aircraft and offer reduced-rate leases to airlines willing to make long-term commitments.

Which of the following, if true, most threatens the plans likelihood of success?

(A) Most of the airlines operating out of nearby airports have long-term leases on gates at the other airports.
(B) The existing gates at Zuksha rent at rates that are, on average, much lower than the proposed rates for the new gates to be built there.
(C) Because of highway congestion and changing development patterns that make Zuksha inconvenient to access, airline customers prefer to depart from other airports.
(D) Of the 18 airlines that serve Zuksha or nearby airports, none serve more than one airport in the area.
(E) If the proposed addition is completed, Zuksha will be the largest airport, as measured both by gates and
square footage, in the region.

-------------------"if true, most threatens the plan"-------------------------------------------------------------------------------------------
pay special attention to this ..., this does not apply to the whole argument but just to the plan
so IMO a) coz if the airlines are already have long term leases and thse special gates then they would not break thr contracts to avail the same facilities tht airport Z is offering ..
_________________

" What [i] do is not beyond anybody else's competence"- warren buffett
My Gmat experience -http://gmatclub.com/forum/gmat-710-q-47-v-41-tips-for-non-natives-107086.html

Intern
Joined: 20 Oct 2010
Posts: 10
Followers: 0

Kudos [?]: 36 [0], given: 0

### Show Tags

25 Oct 2010, 07:10
Sorry for being late. Here are the OAs to the posted questions.

1) At present Satellex Radio provides only music stations. However, many Satellex subscribers listen to talk radio stations as well, and they would prefer that Satellex offered talk radio as well. Moreover, subscribers to radio services that provide talk radio usually subscribe for longer periods of time than those who subscribe to music-only services. Therefore, if Satellex added talk radio stations, its profits would increase.

The argument is vulnerable to criticism on the grounds that it gives reason to believe that it is likely that

(A) Satellex's large subscriber base would appeal to talk radio hosts, making it easy for Satellex to hire quality talent for its talk radio stations.
(C) Satellex's costs would rise by adding several talk-radio stations, while many of the listeners who want talk radio are already Satellex subscribers.
(D) Talk radio listeners generally spend more time on a single radio station than do listeners to music radio.
(E) If Satellex added talk radio stations, many of Satellex's music radio hosts would switch to talk-radio stations, making the music stations less appealing.

OA is C

Explanation: The question plays with classic equation Profit = Revenue - Expenses
When the profit is increasing that means the revenue is higher than expenses. For that to happen, the subscriber base must increase for Satellex. But since most members willing to listen to Talk shows are already members, chances are less that would happen. Option C says costs (expenses) would rise thus it weakens the conclusion.

2) Zuksha International Airport was once the busiest airport in the region, but two major airlines have relocated to nearby airports, reducing the number of flights in and out of Zuksha by more than half. The gates at Zuksha were built more than thirty years ago and cannot accommodate the largest modern aircraft. In an effort to bring in more business, Zuksha officials plan to build dozens of gates to accommodate modern aircraft and offer reduced-rate leases to airlines willing to make long-term commitments.

Which of the following, if true, most threatens the plan's likelihood of success?

(A) Most of the airlines operating out of nearby airports have long-term leases on gates at the other airports.
(B) The existing gates at Zuksha rent at rates that are, on average, much lower than the proposed rates for the new gates to be built there.
(C) Because of highway congestion and changing development patterns that make Zuksha inconvenient to access, airline customers prefer to depart from other airports.
(D) Of the 18 airlines that serve Zuksha or nearby airports, none serve more than one airport in the area.
(E) If the proposed addition is completed, Zuksha will be the largest airport, as measured both by gates and square footage, in the region.

OA is C

Explanation: Only A & C are contenders. But the thing which makes A a looser is long-term leases. There is no means to know when those long-term contracts are ending so we can't pick this option. Even after providing new gates and long-term leases contracts, the one thing which threatens the plan is unwillingness of customers to come to Zuksha because of congestion & inconvenience.

Hope this helps.
GMAT Tutor
Joined: 24 Jun 2008
Posts: 1180
Followers: 427

Kudos [?]: 1553 [0], given: 4

### Show Tags

26 Oct 2010, 08:23
gdk800 wrote:
Sorry for being late. Here are the OAs to the posted questions.

1) At present Satellex Radio provides only music stations. However, many Satellex subscribers listen to talk radio stations as well, and they would prefer that Satellex offered talk radio as well. Moreover, subscribers to radio services that provide talk radio usually subscribe for longer periods of time than those who subscribe to music-only services. Therefore, if Satellex added talk radio stations, its profits would increase.

The argument is vulnerable to criticism on the grounds that it gives reason to believe that it is likely that

(A) Satellex's large subscriber base would appeal to talk radio hosts, making it easy for Satellex to hire quality talent for its talk radio stations.
(C) Satellex's costs would rise by adding several talk-radio stations, while many of the listeners who want talk radio are already Satellex subscribers.
(D) Talk radio listeners generally spend more time on a single radio station than do listeners to music radio.
(E) If Satellex added talk radio stations, many of Satellex's music radio hosts would switch to talk-radio stations, making the music stations less appealing.

OA is C

Explanation: The question plays with classic equation Profit = Revenue - Expenses
When the profit is increasing that means the revenue is higher than expenses. For that to happen, the subscriber base must increase for Satellex. But since most members willing to listen to Talk shows are already members, chances are less that would happen. Option C says costs (expenses) would rise thus it weakens the conclusion.

Where are these explanations from? This one seems to miss the whole point of the question.

Note that this is not a standard "Which of the following, if true, would weaken the argument" question. Not only do we need to find a legitimate criticism of the argument, but the correct answer must also be something "the argument ... gives reason to believe... is likely". So while B might weaken the argument, it is not the correct answer, since there is nothing in the argument that should lead us to believe that B is likely to be true. C, on the other hand, not only weakens the argument, but is also suggested in the passage; in the passage we learn that those who want talk radio are already subscribers.

To answer this question correctly, you must read it very carefully; if you assume it's a standard 'weaken' question, you won't be applying the correct criteria in choosing your answer, and you might easily think the answer is B. The explanation quoted above seems to miss that point altogether, and it's the key to the whole question.

gdk800 wrote:
2) Zuksha International Airport was once the busiest airport in the region, but two major airlines have relocated to nearby airports, reducing the number of flights in and out of Zuksha by more than half. The gates at Zuksha were built more than thirty years ago and cannot accommodate the largest modern aircraft. In an effort to bring in more business, Zuksha officials plan to build dozens of gates to accommodate modern aircraft and offer reduced-rate leases to airlines willing to make long-term commitments.

Which of the following, if true, most threatens the plan's likelihood of success?

(A) Most of the airlines operating out of nearby airports have long-term leases on gates at the other airports.
(B) The existing gates at Zuksha rent at rates that are, on average, much lower than the proposed rates for the new gates to be built there.
(C) Because of highway congestion and changing development patterns that make Zuksha inconvenient to access, airline customers prefer to depart from other airports.
(D) Of the 18 airlines that serve Zuksha or nearby airports, none serve more than one airport in the area.
(E) If the proposed addition is completed, Zuksha will be the largest airport, as measured both by gates and square footage, in the region.

OA is C

Explanation: Only A & C are contenders. But the thing which makes A a looser is long-term leases. There is no means to know when those long-term contracts are ending so we can't pick this option. Even after providing new gates and long-term leases contracts, the one thing which threatens the plan is unwillingness of customers to come to Zuksha because of congestion & inconvenience.

Hope this helps.

Again, I wonder where the explanation is from. When I read answer choice C, it reminds me of the situation in Europe: there are tons of inconveniently located airports, but customers still use them. Most of the time, customers don't have much choice of where they fly to and from. In this question, if entire airlines transfer their business to Zuksha International, that is likely to be true here as well; why shouldn't we expect Zushkaians to put up with inconveniently located airports if people do that all the time in real life? We have no way to answer that question here, and there's simply no way to evaluate the importance of the concerns raised by answer C without bringing a lot of assumptions to the question. Bearing in mind, though, that it is the airlines (and not the customers) who will be deciding where the airplanes fly to and from, and that the airlines are likely to be primarily concerned with costs, C doesn't seem to be a factor that is likely to be all that important. So I don't think it's a good answer here, though I'd choose it if it was the only reasonable answer choice.

That's not the case, however. A offers a far more compelling reason to doubt the likelihood of the plan's success, at least in the short term. The plan is entirely predicated on enticing airlines into signing reduced rate long-term leases. If airlines have long and unbreakable leases elsewhere, those airlines might not be able to take advantage of the reduced cost leases at Zuksha International, at least not before their current leases expire. Since the leasing arrangements are a central feature of the plan, if we have reason to expect airlines won't sign leases, we have reason to doubt the plan will work. So to me, A seems to have a far more direct bearing on the question, and seems to be a much better answer than C.

All that said, this is one of those nebulous prep company CR questions which has two potentially correct answers, and getting the answer right is more a test of whether you can guess what the question designer was thinking than whether you can answer real GMAT CR questions successfully.
_________________

GMAT Tutor in Toronto

If you are looking for online GMAT math tutoring, or if you are interested in buying my advanced Quant books and problem sets, please contact me at ianstewartgmat at gmail.com

Retired Moderator
Status: 2000 posts! I don't know whether I should feel great or sad about it! LOL
Joined: 04 Oct 2009
Posts: 1708
Location: Peru
Schools: Harvard, Stanford, Wharton, MIT & HKS (Government)
WE 1: Economic research
WE 2: Banking
WE 3: Government: Foreign Trade and SMEs
Followers: 101

Kudos [?]: 954 [1] , given: 109

### Show Tags

26 Oct 2010, 09:26
1
KUDOS
+1 C
_________________

"Life’s battle doesn’t always go to stronger or faster men; but sooner or later the man who wins is the one who thinks he can."

My Integrated Reasoning Logbook / Diary: http://gmatclub.com/forum/my-ir-logbook-diary-133264.html

GMAT Club Premium Membership - big benefits and savings

GMAT Club Legend
Joined: 01 Oct 2013
Posts: 10666
Followers: 957

Kudos [?]: 213 [0], given: 0

### Show Tags

26 Feb 2016, 14:08
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
Re: 1) At present Satellex Radio provides only music stations.   [#permalink] 26 Feb 2016, 14:08
Similar topics Replies Last post
Similar
Topics:
13 Radio stations with radio data system (RDS) technology 6 22 Aug 2012, 00:31
40 Radio stations with radio data system (RDS) technology 33 13 Oct 2010, 18:54
3 Radio stations with radio data system (RDS) technology 9 07 Sep 2010, 00:21
60 Source : GMATPrep Radio stations with radio data system 25 08 Oct 2008, 09:10
21 Radio Stations with radio data system (RDS) technolodgy 39 16 Jun 2008, 04:18
Display posts from previous: Sort by