It is currently 18 Nov 2017, 18:38

### 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

# After the company recalled one of its best-selling products,

Author Message
TAGS:

### Hide Tags

Intern
Joined: 07 Aug 2012
Posts: 40

Kudos [?]: 44 [0], given: 17

GMAT 1: 690 Q49 V34
GMAT 2: 750 Q51 V40
Re: After the company recalled one of its best-selling products, [#permalink]

### Show Tags

25 Oct 2012, 14:56
A query:

In option A, the section "an expense that would have forced its main competitor to declare bankruptcy if it had suffered such a loss" is IMO a noun (An expense) + noun modifier (that .....), which modifies "one billion" and not "loss". So it is correctly placed and makes sense that the loss of (NOUN) "one billion" ( and NOT LOSS) would have forced the company to declare bankruptcy.
Also, "it" in "it had suffered such a loss" i believe refers to the main competitor. Though "it" may as well refer to the initial company (Not sure though).

In option D, the section "its main competitor would have been forced to declare bankruptcy if it had suffered such a loss" implies that someone/something else is forcing the main competitor to declare bankruptcy which IMO is incorrect.

So please confirm the right option.

Kudos [?]: 44 [0], given: 17

e-GMAT Representative
Joined: 02 Nov 2011
Posts: 2352

Kudos [?]: 9272 [1], given: 340

Re: After the company recalled one of its best-selling products, [#permalink]

### Show Tags

25 Oct 2012, 15:24
1
KUDOS
Expert's post
Hi,
Received a PM to respond to this one.

You are correct in saying that in option A, “an expense that would have forced its main competitor to declare bankruptcy if it had suffered such a loss” is a Noun (an expense) + Noun Modifier (that .....). However, notice that it cannot refer to “one billion dollar” because it is an adjective. The complete noun phrase here is “a one billion dollar loss”. Hence, this Noun + Noun Modifier refer to this entire noun phrase. This is illogical because a loss cannot be an expense.

Pronoun “it” in “it had suffered such a loss” correctly refers to “main competitor”.

The correct option for this problem is option D indeed. Study the full sentence with the correct option:

After the company recalled one of its best-selling products, it was forced to accept a one billion dollar loss; its main competitor would have been forced to declare bankruptcy if it had suffered such a loss.

The sentence clearly states the reason why the company was forced to accept a one billion dollar loss. It was forced to do so because it recalled one of its best-selling products. So here we have cause-effect relationship.
The independent clause after semicolon clearly and correctly states that if its main competitor had suffered such a loss, it would have been forced to declare bankruptcy.

Hope this helps.
Thanks.
_________________

| '4 out of Top 5' Instructors on gmatclub | 70 point improvement guarantee | www.e-gmat.com

Kudos [?]: 9272 [1], given: 340

Manager
Joined: 15 Apr 2012
Posts: 93

Kudos [?]: 64 [0], given: 134

Concentration: Technology, Entrepreneurship
GMAT 1: 460 Q38 V17
GPA: 3.56
Re: After the company recalled one of its best-selling products, [#permalink]

### Show Tags

26 Oct 2012, 01:37
egmat wrote:
Hi,
Received a PM to respond to this one.

You are correct in saying that in option A, “an expense that would have forced its main competitor to declare bankruptcy if it had suffered such a loss” is a Noun (an expense) + Noun Modifier (that .....). However, notice that it cannot refer to “one billion dollar” because it is an adjective. The complete noun phrase here is “a one billion dollar loss”. Hence, this Noun + Noun Modifier refer to this entire noun phrase. This is illogical because a loss cannot be an expense.

Pronoun “it” in “it had suffered such a loss” correctly refers to “main competitor”.

The correct option for this problem is option D indeed. Study the full sentence with the correct option:

After the company recalled one of its best-selling products, it was forced to accept a one billion dollar loss; its main competitor would have been forced to declare bankruptcy if it had suffered such a loss.

The sentence clearly states the reason why the company was forced to accept a one billion dollar loss. It was forced to do so because it recalled one of its best-selling products. So here we have cause-effect relationship.
The independent clause after semicolon clearly and correctly states that if its main competitor had suffered such a loss, it would have been forced to declare bankruptcy.

Hope this helps.
Thanks.

Hi Sharddha,
Can you explain why 'it' cannot refer to 'the company'? I feel 'it' is ambiguous in here..Please explain..Thanks

Kudos [?]: 64 [0], given: 134

e-GMAT Representative
Joined: 02 Nov 2011
Posts: 2352

Kudos [?]: 9272 [0], given: 340

Re: After the company recalled one of its best-selling products, [#permalink]

### Show Tags

26 Oct 2012, 09:48
farukqmul wrote:
[Hi Sharddha,
Can you explain why 'it' cannot refer to 'the company'? I feel 'it' is ambiguous in here..Please explain..Thanks

Hi there,

In Choice D, the refrence of "it" is not ambiguous beause it appears in the independent clause that comes after the semicolon. This clause only talk about the "main competitor". his is the grammatical part of it. Logically also, "it" cannot refer to "the company" because why would the "main competitor" declare bankruptcy if the company (it) had suffered such a loss? This logic is also applicable to the reference of "it" in choice A as well.

Hope thus helps.
Thanks.
_________________

| '4 out of Top 5' Instructors on gmatclub | 70 point improvement guarantee | www.e-gmat.com

Kudos [?]: 9272 [0], given: 340

Re: After the company recalled one of its best-selling products,   [#permalink] 26 Oct 2012, 09:48

Go to page   Previous    1   2   [ 24 posts ]

Display posts from previous: Sort by