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02 Mar 2020, 18:08
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Difficulty:
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89% (01:01) correct
11%
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A winemaker who sells his wine for a fixed price per bottle decides that he must increase his income. Because he does not believe that customers will pay more for his wine, he decides to cut costs by using cheaper grapes. He expects that, by cutting costs, he will increase his profit margin per bottle of wine and thus increase his annual net income.
Which of the following, if true, most weakens the argument above?
(A) Other area winemaker charge more for their wine than the winemaker charges for this.
(B) The winemaker has failed to consider other options, such as cheaper production processes.
(C) The winemaker's plan will result in the production of inferior wine which, in turn, will cause a reduction in sales.
(D) If the economy were to enter a period of inflation, the winemaker's projectedc increase in income could be wiped out by increases in the price of grapes and other supplies.
(E) The winemaker considered trying to produce more wine per pound of grapes and thus increase productivity, but concluded that it would be impossible.
Hi all,
I have stumbled across this problem. Unfortunately, I don't have the solution for it.
I am guessing that either (C) or (D) is correct, but as I just started out this week preparing for GMAT I wanted to get opinions of experts on it.
Would you guys mind sharing your results with the reasoning?
Which of the following, if true, most weakens the argument above?
(A) Other area winemaker charge more for their wine than the winemaker charges for this.
(B) The winemaker has failed to consider other options, such as cheaper production processes.
(C) The winemaker's plan will result in the production of inferior wine which, in turn, will cause a reduction in sales.
(D) If the economy were to enter a period of inflation, the winemaker's projectedc increase in income could be wiped out by increases in the price of grapes and other supplies.
(E) The winemaker considered trying to produce more wine per pound of grapes and thus increase productivity, but concluded that it would be impossible.
Hi all,
I have stumbled across this problem. Unfortunately, I don't have the solution for it.
I am guessing that either (C) or (D) is correct, but as I just started out this week preparing for GMAT I wanted to get opinions of experts on it.
Would you guys mind sharing your results with the reasoning?
03 Mar 2020, 11:00
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D is not the correct one because It is out of scope
Our main scope is the income , which is = (retail price - cost)*unit sold
C definitely will reduce the income as the units sold will decrease.
as for D, it can't weaken the conclusion that the income will increase. Besides, It is proposing a hypothesis that may or may not happen. Still, even the inflation happened, it will be a good option for the buyer to use cheaper grapes to overcome the increased costs.
Our main scope is the income , which is = (retail price - cost)*unit sold
C definitely will reduce the income as the units sold will decrease.
as for D, it can't weaken the conclusion that the income will increase. Besides, It is proposing a hypothesis that may or may not happen. Still, even the inflation happened, it will be a good option for the buyer to use cheaper grapes to overcome the increased costs.
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03 Mar 2020, 20:01
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dpggwp
A winemaker who sells his wine for a fixed price per bottle decides that he must increase his income. Because he does not believe that customers will pay more for his wine, he decides to cut costs by using cheaper grapes. He expects that, by cutting costs, he will increase his profit margin per bottle of wine and thus increase his annual net income.
Which of the following, if true, most weakens the argument above?
(A) Other area winemaker charge more for their wine than the winemaker charges for this.
(B) The winemaker has failed to consider other options, such as cheaper production processes.
(C) The winemaker's plan will result in the production of inferior wine which, in turn, will cause a reduction in sales.
(D) If the economy were to enter a period of inflation, the winemaker's projectedc increase in income could be wiped out by increases in the price of grapes and other supplies.
(E) The winemaker considered trying to produce more wine per pound of grapes and thus increase productivity, but concluded that it would be impossible.
Hi all,
I have stumbled across this problem. Unfortunately, I don't have the solution for it.
I am guessing that either (C) or (D) is correct, but as I just started out this week preparing for GMAT I wanted to get opinions of experts on it.
Would you guys mind sharing your results with the reasoning?
Which of the following, if true, most weakens the argument above?
(A) Other area winemaker charge more for their wine than the winemaker charges for this.
(B) The winemaker has failed to consider other options, such as cheaper production processes.
(C) The winemaker's plan will result in the production of inferior wine which, in turn, will cause a reduction in sales.
(D) If the economy were to enter a period of inflation, the winemaker's projectedc increase in income could be wiped out by increases in the price of grapes and other supplies.
(E) The winemaker considered trying to produce more wine per pound of grapes and thus increase productivity, but concluded that it would be impossible.
Hi all,
I have stumbled across this problem. Unfortunately, I don't have the solution for it.
I am guessing that either (C) or (D) is correct, but as I just started out this week preparing for GMAT I wanted to get opinions of experts on it.
Would you guys mind sharing your results with the reasoning?
C is the clear answer as it tells that if quality of wines is reduced, the sell will reduce and thus profit will be reduced. So wine make will not achieve his objective
