devikeerthansr
Almost the entire demand for milk products in Hamilton County is supplied by Mother Dairy, a large establishment that has been around for fifty years, through distribution centers. However, in the past six months, four of Mother Dairy distribution centers have closed down, and no new ones have opened up. It is clear that Mother Dairy’s sales volumes and revenues this year will be less compared to those last year.
The argument depends on which of the following assumption?
A Mother Dairys sales volumes and revenues were much higher last year compared to the year before.
B Mother Dairys operating expenses have not seen a reduction from last year to this year.
C The distribution centers that have remained open have sold less volumes of milk this year than they did last year.
D Very soon, Mother Dairy will no longer be able to monopolize the milk market in Hamilton County.
E Mother Dairy is not one of the businesses that get most of their business from customers outside Hamilton County.
Source:Crackverbal
Premise 1: Hamilton County's milk product demand is met by Mother Dairy
Premise 2: 4 of Mother Dairy's distribution centers have been closed and no new ones have been opened.
Conclusion: Sales Volume and Revenue of Mother Dairy will be less this year compared to previous year.
Pre-thinking: Other stores of Mother Dairy didn't generate enough revenue to increase the overall revenue of Mother Dairy.
It comes down to C and E. My two cents is on C. Because, C states that the other distribution centers have sold less volumes of milk this year than last year. Notice here that it doesn't say anything about Hamilton County. Those distribution centers can be anywhere. (within/outside Hamilton County). Point is, overall Sales hasn't gone up and surely this will be less than sales of previous year.
Now, Option E. Option E states that,
"Mother Dairy is not of the businesses that get most of their business from customers outside Hamilton County"
Now, look at the premise 2. Premise 2 never says that the closed distribution centers are in Hamilton County. It just merely says, out of existing distribution centers, 4 are closed. Now, negate the assumption. Let Mother Dairy has all of its business from outside Hamilton county.
1.Where are the distribution centers closed? No.
2.Does this breaks the conclusion by saying anything about Revenue/Sales? No
3. Is there any relation b/w having distribution centers in Hamilton and outside Hamilton and Sales/Revenue? No
So the answer choice is C.