GMAT Question of the Day: Daily via email | Daily via Instagram New to GMAT Club? Watch this Video

 It is currently 18 Jan 2020, 13:19

### 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

# A prominent investor who holds a large stake in the Burton Tool compan

Author Message
TAGS:

### Hide Tags

Intern
Joined: 25 Sep 2004
Posts: 21
A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

Updated on: 24 Sep 2018, 06:53
8
35
00:00

Difficulty:

25% (medium)

Question Stats:

77% (01:56) correct 23% (02:19) wrong based on 2846 sessions

### HideShow timer Statistics

A prominent investor who holds a large stake in the Burton Tool company has recently claimed that the company is mismanaged, citing as evidence the company's failure to slow production in response to a recent rise in its inventory of finished products. It is doubtful whether an investor's sniping at management can ever be anything other than counterproductive, but in this case it is clearly not justified. It is true that an increased inventory of finished products often indicates that production is outstripping demand, but in Burton's case it indicates no such thing. Rather, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.

(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.

(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

Verbal Question of The Day: Day 267: Critical Reasoning

Subscribe to GMAT Question of the Day: E-mail | RSS

Similar question from GMATPrep : LINK

Originally posted by linker on 04 Oct 2004, 22:09.
Last edited by Bunuel on 24 Sep 2018, 06:53, edited 6 times in total.
Renamed the topic and edited the question.
GMAT Club Verbal Expert
Status: GMAT and GRE tutors
Joined: 13 Aug 2009
Posts: 3093
Location: United States
GMAT 1: 780 Q51 V46
GMAT 2: 800 Q51 V51
GRE 1: Q170 V170

GRE 2: Q170 V170
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

17 Apr 2018, 21:11
11
1
3
As with any boldface (BF) question, we want to first analyze the argument without paying any attention to the bold face. The conclusion is a bit tricky to identify, so let's review the argument, rearranging it somewhat to illustrate the logic:

• There has been a recent rise in Burton's inventory of finished products.
• An increased inventory of finished products often indicates that production is outstripping demand.
• Despite the increase in inventory, Burton has not slowed production.

Based on this evidence, the prominent investor claims that the company is mismanaged. After all, if production is outstripping demand, shouldn't Burton slow production? But this is not the whole story...

• In Burton's case, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.
• This implies that Burton's production is NOT outstripping demand and that there is no reason to slow production. This undermines the evidence cited by the investor (evidence supporting the investor's position that the company is mismanaged).
• Therefore, the investor's criticism of management is clearly not justified (author's conclusion).

Now that we understand the conclusion and the argument, let's take a look at the boldfaced portions:

• "the company is mismanaged" - This is the position of the prominent investor, not the author.
• "in this case [the investor's sniping at management] is clearly not justified" - The author concludes that the investor's claim is not justified.

Which answer choice best describes the role of the boldfaced portions?

Quote:
(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.

The 1st BF portion is the position of the prominent investor. The author opposes that position, so the first half of (A) looks good. The 2nd BF portion is not evidence. Instead, it is simply the author's position/conclusion. By itself, this statement does not undermine support for investor's position. The second half of (A) is inaccurate, so eliminate this one.

Quote:
(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.

As in choice (A), the first half of (B) looks good. But, again, the 2nd BF portion is not evidence. Also, this statement in no way supports the investor's position. Instead, the 2nd BF portion is simply the author's conclusion (that the investor's claim is not justified). Eliminate (B).

Quote:
(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

As in (A) and (B), the first half of (C) looks good. The 2nd BF portion is the author's conclusion, so the second half of (C) looks good too. Choice (C) accurately expresses the roles of the two boldfaced portions, so keep this one.

Quote:
(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

The 1st BF portion, "the company is mismanaged", is the position of the prominent investor, not evidence to support the investor's position. The evidence cited to support that position is "the company's failure to slow production in response to a recent rise in its inventory of finished products", and this portion is not boldfaced.

The 2nd BF portion does not undermine the evidence cited above ("the company's failure to slow production in response to a recent rise in its inventory of finished products"). Stating that the investor's sniping was not justified does not, by itself, undermine the evidence. Rather, the 2nd BF portion is the conclusion of the author's argument. Eliminate (D).

Quote:
(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

The 1st BF portion is not evidence supporting the investor's position. Instead, it is simply the investor's position. The second half of (E) is okay, but since the first is inaccurate, (E) must be eliminated.

_________________
GMAT/GRE tutor @ www.gmatninja.com (we're hiring!) | GMAT Club Verbal Expert | Instagram | Blog | Bad at PMs

Beginners' guides to GMAT verbal: RC | CR | SC

YouTube LIVE verbal webinars: all videos by topic

SC articles & resources: How to go from great (760) to incredible (780) on GMAT SC | That "-ing" Word Probably Isn't a Verb | That "-ed" Word Might Not Be a Verb, Either | No-BS Guide to GMAT Idioms | "Being" is not the enemy | WTF is "that" doing in my sentence?

RC, CR, and other articles & resources: All GMAT Ninja articles on GMAT Club | Using LSAT for GMAT CR & RC |7 reasons why your actual GMAT scores don't match your practice test scores | How to get 4 additional "fake" GMAT Prep tests for \$29.99 | Time management on verbal

SC & CR Questions of the Day (QOTDs), featuring expert explanations: All QOTDs | Subscribe via email | RSS

Need an expert reply? Hit the request verbal experts' reply button; be specific about your question, and tag @GMATNinja. Priority is always given to official GMAT questions.
##### General Discussion
Manager
Joined: 22 Apr 2013
Posts: 79
Location: India
Concentration: Finance
GMAT 1: 660 Q48 V33
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

24 Oct 2013, 20:09
2
1
A The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.--- The first statement is correct, but the second statement is not an evidence.

B The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.--- Same as A. Second statement is not evidence.

C The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.--- CORRECT.

D The first is evidence that has been used to SMPPort a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.--- The first is not an evidence but just something the investor claims.

E The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.---- The first statement is not an evidence but this what the investor claims.
Board of Directors
Status: Stepping into my 10 years long dream
Joined: 18 Jul 2015
Posts: 3556
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

25 May 2017, 10:38
2
hazelnut wrote:
A prominent investor who holds a large stake in the Burton Tool company has recently claimed that the company is mismanaged, citing as evidence the company's failure to slow production in response to a recent rise in its inventory of finished products. It is doubtful whether an investor's sniping at management can ever be anything other than counterproductive, but in this case it is clearly not justified. It is true that an increased inventory of finished products often indicates that production is outstripping demand, but in Burton's case it indicates no such thing. Rather, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.
(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.
(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.
(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.
(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

GMATNinjaTwo Could you help to assist to analyse this question? Does the word "clearly" is a hint for the conclusion? Perhaps you could provide the explanations for the transition word in this argument. I have a hard time to identify the conclusion of the argument. Thank you.

Hi hazelnut ,

My two cents here brother

Always remember the marker words to determine the conclusion or the premise. Some of these markers for conclusion are clearly, therefore, hence, thus, claimed, etc.

For premises, we have Since, because, the reason is, etc.

Now, in this question we have two claims:

1. The prominent investor claim. "the company is mismanaged"
2. The author's claim stated by the word clearly . "in this case it is clearly not justified".

Now, you to determine which is a conclusion and which is a premise:

You can always use AB test.

Is A because of B? --> Then A is the conclusion

Is B because of A.? --> Then B is the conclusion.

Other than this, try to find out what the author is trying to say and then what he has used as an extra information to prove his point. The extra information will be the premise and the author's point will be the conclusion.
_________________
My GMAT Story: From V21 to V40
My MBA Journey: My 10 years long MBA Dream
My Secret Hacks: Best way to use GMATClub | Importance of an Error Log!
Verbal Resources: All SC Resources at one place | All CR Resources at one place

GMAT Club Inbuilt Error Log Functionality - View More.
New Visa Forum - Ask all your Visa Related Questions - here.
New! Best Reply Functionality on GMAT Club!
Find a bug in the new email templates and get rewarded with 2 weeks of GMATClub Tests for free
Check our new About Us Page here.
Senior SC Moderator
Joined: 14 Nov 2016
Posts: 1345
Location: Malaysia
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

25 May 2017, 05:23
1
A prominent investor who holds a large stake in the Burton Tool company has recently claimed that the company is mismanaged, citing as evidence the company's failure to slow production in response to a recent rise in its inventory of finished products. It is doubtful whether an investor's sniping at management can ever be anything other than counterproductive, but in this case it is clearly not justified. It is true that an increased inventory of finished products often indicates that production is outstripping demand, but in Burton's case it indicates no such thing. Rather, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.
(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.
(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.
(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.
(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

GMATNinjaTwo Could you help to assist to analyse this question? Does the word "clearly" is a hint for the conclusion? Perhaps you could provide the explanations for the transition word in this argument. I have a hard time to identify the conclusion of the argument. Thank you.
_________________
"Be challenged at EVERY MOMENT."

“Strength doesn’t come from what you can do. It comes from overcoming the things you once thought you couldn’t.”

"Each stage of the journey is crucial to attaining new heights of knowledge."

GMAT Club Verbal Expert
Status: GMAT and GRE tutors
Joined: 13 Aug 2009
Posts: 3093
Location: United States
GMAT 1: 780 Q51 V46
GMAT 2: 800 Q51 V51
GRE 1: Q170 V170

GRE 2: Q170 V170
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

25 May 2017, 19:10
1
merajul wrote:
I got confused between C & D. Can anybody help

Quote:
(C) the first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.
(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

Here's the argument, rearranged somewhat:

• There has been a recent rise in Burton's inventory of finished products.
• An increased inventory of finished products often indicates that production is outstripping demand.
• But, in Burton's case, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.
• This implies that Burton's production is NOT outstripping demand and that there is no reason to slow production. This undermines the evidence cited by the investor, in support of the investor's position that the company is mismanaged.
• Therefore, the investor's criticism of management is clearly not justified (conclusion).

The first boldfaced section, "the company is mismanaged", is the position of the prominent investor, not evidence to support the investor's position. The evidence cited to support that position is "the company's failure to slow production in response to a recent rise in its inventory of finished products", and this portion is not boldfaced.

The second boldfaced section, "in this case [the investor's sniping at management] is clearly not justified", does not undermine the evidence cited above ("the company's failure to slow production in response to a recent rise in its inventory of finished products"). Stating that the investor's sniping was not justified does not, by itself, undermine the evidence. Rather, the second portion is the conclusion of the author's argument.

Thus, choice (C) accurately expresses the roles of the two boldfaced portions.
_________________
GMAT/GRE tutor @ www.gmatninja.com (we're hiring!) | GMAT Club Verbal Expert | Instagram | Blog | Bad at PMs

Beginners' guides to GMAT verbal: RC | CR | SC

YouTube LIVE verbal webinars: all videos by topic

SC articles & resources: How to go from great (760) to incredible (780) on GMAT SC | That "-ing" Word Probably Isn't a Verb | That "-ed" Word Might Not Be a Verb, Either | No-BS Guide to GMAT Idioms | "Being" is not the enemy | WTF is "that" doing in my sentence?

RC, CR, and other articles & resources: All GMAT Ninja articles on GMAT Club | Using LSAT for GMAT CR & RC |7 reasons why your actual GMAT scores don't match your practice test scores | How to get 4 additional "fake" GMAT Prep tests for \$29.99 | Time management on verbal

SC & CR Questions of the Day (QOTDs), featuring expert explanations: All QOTDs | Subscribe via email | RSS

Need an expert reply? Hit the request verbal experts' reply button; be specific about your question, and tag @GMATNinja. Priority is always given to official GMAT questions.
GMAT Club Legend
Joined: 12 Sep 2015
Posts: 4214
A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

Updated on: 20 Dec 2019, 14:18
Top Contributor
souvik101990 wrote:

Verbal Question of The Day: Day 267: Critical Reasoning

Subscribe to GMAT Question of the Day: E-mail | RSS

A prominent investor who holds a large stake in the Burton Tool company has recently claimed that the company is mismanaged, citing as evidence the company's failure to slow production in response to a recent rise in its inventory of finished products. It is doubtful whether an investor's sniping at management can ever be anything other than counterproductive, but in this case it is clearly not justified. It is true that an increased inventory of finished products often indicates that production is outstripping demand, but in Burton's case it indicates no such thing. Rather, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.

(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.

(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

Oops - I answered the wrong question!
_________________
Test confidently with gmatprepnow.com

Originally posted by GMATPrepNow on 06 Aug 2018, 17:38.
Last edited by GMATPrepNow on 20 Dec 2019, 14:18, edited 1 time in total.
Intern
Joined: 16 May 2019
Posts: 10
Location: United States (DC)
GPA: 3.42
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

01 Jun 2019, 12:37

Investor (opposing) argument: premise: company didn't react to increased inventory -> company mismanaged

Main Argument: Premise: increase in inventory = for existing orders -> company didn't need to pull back production -> investor's claim isn't justified

The tricky thing here is that mid-way it sounds like there's a larger theme being presented that investor's gripes aren't productive, which can sound like the argument's main position. HOWEVER, by mapping out what the supporting evidence all points towards, you realize that the main claim is actually why the company isn't mismanaged.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed. the first does state the position the argument opposes, the second is the main position though, not evidence -> eliminate

(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed. the first does that; the second does not provide evidence to support the 1st, if anything it opposes the first

(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole. the first does that; the second is the conclusion -> WINNER

(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence. the first is the position, the second claims the first is wrong, but the following statements are the evidence

(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole. the first is the position not the evidence, the second does what it says
Manager
Joined: 30 Oct 2019
Posts: 93
Location: United Kingdom
Concentration: General Management, Technology
GPA: 4
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

03 Dec 2019, 15:05
Some quick pre-thinking. The investor is thinking company is mismanaged as there is a build of of inventory. The author however thinks this is not true, as stated in the passage "Rather, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers."

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed. Yes it is a position taken; No it is not evidence, rather the author's take on the situation

(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed. Yes; No not evidence

(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole. Yes, Yes the author's take = the author's conclusion

(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence. No, No it is just a position taken, not information to undermine

(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole. No not evidence; Yes it is
VP
Joined: 23 Feb 2015
Posts: 1451
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

20 Dec 2019, 09:51
A prominent investor who holds a large stake in the Burton Tool company has recently claimed that the company is mismanaged, citing as evidence the company's failure to slow production in response to a recent rise in its inventory of finished products. It is doubtful whether an investor's sniping at management can ever be anything other than counterproductive, but in this case it is clearly not justified. It is true that an increased inventory of finished products often indicates that production is outstripping demand, but in Burton's case it indicates no such thing. Rather, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first states the position that the argument as a whole opposes; the second provides evidence to undermine the support for the position being opposed.

(B) The first states the position that the argument as a whole opposes; the second is evidence that has been used to support the position being opposed.

(C) The first states the position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

(E) The first is evidence that has been used to support a position that the argument as a whole opposes; the second states the conclusion of the argument as a whole.

Verbal Question of The Day: Day 267: Critical Reasoning

Subscribe to GMAT Question of the Day: E-mail | RSS

Similar question from GMATPrep : LINK

Bunuel
Highlighted part says: this question is also from ''gmatprep''. If this is right, the question of the above link should be under ''gmatprep'' tag.
_________________
“The heights by great men reached and kept were not attained in sudden flight but, they while their companions slept, they were toiling upwards in the night.”

SEARCH FOR ALL TAGS
VP
Joined: 23 Feb 2015
Posts: 1451
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

20 Dec 2019, 13:33
GMATNinja wrote:
As with any boldface (BF) question, we want to first analyze the argument without paying any attention to the bold face. The conclusion is a bit tricky to identify, so let's review the argument, rearranging it somewhat to illustrate the logic:

• There has been a recent rise in Burton's inventory of finished products.
• An increased inventory of finished products often indicates that production is outstripping demand.
• Despite the increase in inventory, Burton has not slowed production.

Based on this evidence, the prominent investor claims that the company is mismanaged. After all, if production is outstripping demand, shouldn't Burton slow production? But this is not the whole story...

• In Burton's case, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.
• This implies that Burton's production is NOT outstripping demand and that there is no reason to slow production. This undermines the evidence cited by the investor (evidence supporting the investor's position that the company is mismanaged).
• Therefore, the investor's criticism of management is clearly not justified (author's conclusion).

Now that we understand the conclusion and the argument, let's take a look at the boldfaced portions:

• "the company is mismanaged" - This is the position of the prominent investor, not the author.
• "in this case [the investor's sniping at management] is clearly not justified" - The author concludes that the investor's claim is not justified.

Which answer choice best describes the role of the boldfaced portions?

Quote:
(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

The 1st BF portion, "the company is mismanaged", is the position of the prominent investor, not evidence to support the investor's position. The evidence cited to support that position is "the company's failure to slow production in response to a recent rise in its inventory of finished products", and this portion is not boldfaced.

The 2nd BF portion does not undermine the evidence cited above ("the company's failure to slow production in response to a recent rise in its inventory of finished products"). Stating that the investor's sniping was not justified does not, by itself, undermine the evidence. Rather, the 2nd BF portion is the conclusion of the author's argument. Eliminate (D).

GMATNinja
Sir,
By the word that in choice D, it indicates the first bold part (position/conclusion of the investor). So, i think, we should NOT care about what is going on the highlighted part (though the highlighted part is the EVIDENCE). Am I missing anything?
Thanks__
_________________
“The heights by great men reached and kept were not attained in sudden flight but, they while their companions slept, they were toiling upwards in the night.”

SEARCH FOR ALL TAGS
GMAT Club Verbal Expert
Status: GMAT and GRE tutors
Joined: 13 Aug 2009
Posts: 3093
Location: United States
GMAT 1: 780 Q51 V46
GMAT 2: 800 Q51 V51
GRE 1: Q170 V170

GRE 2: Q170 V170
Re: A prominent investor who holds a large stake in the Burton Tool compan  [#permalink]

### Show Tags

17 Jan 2020, 21:23
GMATNinja wrote:
As with any boldface (BF) question, we want to first analyze the argument without paying any attention to the bold face. The conclusion is a bit tricky to identify, so let's review the argument, rearranging it somewhat to illustrate the logic:

• There has been a recent rise in Burton's inventory of finished products.
• An increased inventory of finished products often indicates that production is outstripping demand.
• Despite the increase in inventory, Burton has not slowed production.

Based on this evidence, the prominent investor claims that the company is mismanaged. After all, if production is outstripping demand, shouldn't Burton slow production? But this is not the whole story...

• In Burton's case, the increase in inventory is entirely attributable to products that have already been assigned to orders received from customers.
• This implies that Burton's production is NOT outstripping demand and that there is no reason to slow production. This undermines the evidence cited by the investor (evidence supporting the investor's position that the company is mismanaged).
• Therefore, the investor's criticism of management is clearly not justified (author's conclusion).

Now that we understand the conclusion and the argument, let's take a look at the boldfaced portions:

• "the company is mismanaged" - This is the position of the prominent investor, not the author.
• "in this case [the investor's sniping at management] is clearly not justified" - The author concludes that the investor's claim is not justified.

Which answer choice best describes the role of the boldfaced portions?

Quote:
(D) The first is evidence that has been used to support a position that the argument as a whole opposes; the second provides information to undermine the force of that evidence.

The 1st BF portion, "the company is mismanaged", is the position of the prominent investor, not evidence to support the investor's position. The evidence cited to support that position is "the company's failure to slow production in response to a recent rise in its inventory of finished products", and this portion is not boldfaced.

The 2nd BF portion does not undermine the evidence cited above ("the company's failure to slow production in response to a recent rise in its inventory of finished products"). Stating that the investor's sniping was not justified does not, by itself, undermine the evidence. Rather, the 2nd BF portion is the conclusion of the author's argument. Eliminate (D).

GMATNinja
Sir,
By the word that in choice D, it indicates the first bold part (position/conclusion of the investor). So, i think, we should NOT care about what is going on the highlighted part (though the highlighted part is the EVIDENCE). Am I missing anything?
Thanks__

I'm not exactly sure what you mean with regard to our previous explanation, but I can say that analyzing the role of the word "that" in this answer choice isn't necessary for us to eliminate choice (D).

We know that the 1st BF portion is NOT evidence. It is the position of the prominent investor.

We also know that the 2nd BF portion does NOT undermine evidence. It is the conclusion of the author.

Choice (D) misrepresents both BF portions on their own, so we can eliminate the entire answer choice based on either of those misrepresentations.

I hope that helps!
_________________
GMAT/GRE tutor @ www.gmatninja.com (we're hiring!) | GMAT Club Verbal Expert | Instagram | Blog | Bad at PMs

Beginners' guides to GMAT verbal: RC | CR | SC

YouTube LIVE verbal webinars: all videos by topic

SC articles & resources: How to go from great (760) to incredible (780) on GMAT SC | That "-ing" Word Probably Isn't a Verb | That "-ed" Word Might Not Be a Verb, Either | No-BS Guide to GMAT Idioms | "Being" is not the enemy | WTF is "that" doing in my sentence?

RC, CR, and other articles & resources: All GMAT Ninja articles on GMAT Club | Using LSAT for GMAT CR & RC |7 reasons why your actual GMAT scores don't match your practice test scores | How to get 4 additional "fake" GMAT Prep tests for \$29.99 | Time management on verbal

SC & CR Questions of the Day (QOTDs), featuring expert explanations: All QOTDs | Subscribe via email | RSS

Need an expert reply? Hit the request verbal experts' reply button; be specific about your question, and tag @GMATNinja. Priority is always given to official GMAT questions.
Re: A prominent investor who holds a large stake in the Burton Tool compan   [#permalink] 17 Jan 2020, 21:23
Display posts from previous: Sort by