It is currently 25 Jun 2017, 22:32

Close

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
Your Progress

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

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Close

Request Expert Reply

Confirm Cancel

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

Box office receipts for independent movies for the first

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

1 KUDOS received
Intern
Intern
avatar
B
Joined: 24 Jun 2013
Posts: 20
Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 15 Jul 2013, 03:46
1
This post received
KUDOS
13
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

  65% (hard)

Question Stats:

54% (02:28) correct 46% (01:28) wrong based on 727 sessions

HideShow timer Statistics

Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year. Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released. The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far.

If the statements above are true, which of the following must be true?

A. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year

B. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.

C. The price of a movie ticket has not increased since last year.

D. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.

E. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.
[Reveal] Spoiler: OA

Last edited by nguyendinhtuong on 12 Jun 2017, 22:05, edited 2 times in total.
Reformatted question
1 KUDOS received
Director
Director
User avatar
Joined: 14 Dec 2012
Posts: 832
Location: India
Concentration: General Management, Operations
GMAT 1: 700 Q50 V34
GPA: 3.6
GMAT ToolKit User
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 15 Jul 2013, 04:00
1
This post received
KUDOS
arichinna wrote:
Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year. Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released. The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far.

If the statements above are true, which of the following must be true?

1. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year
2. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.
3. The price of a movie ticket has not increased since last year.
4. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.
5. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.



hi,

let say :

total movies released last year(TMRLY)=50(given)
total receipts last year(TRLY)=50(assuming)

average receipt per movie= 50/50=1

now according to question
total movies released this year= 20(given)==>uptil first half of the year
total receipts this year= 20percent more than TRLY=50+10=60

average receipt permovie=60/20=3

therefore last year for every movie there is 1 receipt
and this year for every movie there is 3 receipt

hence clearly average revenue generated will be more this year than last year.

same is stated in option D

4. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.==>CORRECT

JUST you have to understand that more the receipt more the revenue...

hope it helps
_________________

When you want to succeed as bad as you want to breathe ...then you will be successfull....

GIVE VALUE TO OFFICIAL QUESTIONS...



GMAT RCs VOCABULARY LIST: http://gmatclub.com/forum/vocabulary-list-for-gmat-reading-comprehension-155228.html
learn AWA writing techniques while watching video : http://www.gmatprepnow.com/module/gmat-analytical-writing-assessment
: http://www.youtube.com/watch?v=APt9ITygGss

Intern
Intern
avatar
B
Joined: 24 Jun 2013
Posts: 20
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 15 Jul 2013, 04:28
Thank you Shailesh for the reply. I did a similar analysis like you did but I had come across one query which made me post this question.

In the answer choice D - "The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year", there is an implicit underlying assumption.

Revenue is a function of price and quantity. This choice assumes that the price is the same as compared to last year. No where in the question, it talks about price of the receipt being the same.

There is also one answer choice which talks about price (though that choice is wrong).

As per your calculation, even if the average receipt per movie increased to 3 in the first half of the present year, this choice will not hold true if the price had come down to one-third or less than that of what it was last year.

I might be wrong or missed out on a logical link but if you have any suggestions/comments, it would help.

Thanks,
Ari
1 KUDOS received
Director
Director
User avatar
Joined: 14 Dec 2012
Posts: 832
Location: India
Concentration: General Management, Operations
GMAT 1: 700 Q50 V34
GPA: 3.6
GMAT ToolKit User
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 15 Jul 2013, 04:52
1
This post received
KUDOS
arichinna wrote:
Thank you Shailesh for the reply. I did a similar analysis like you did but I had come across one query which made me post this question.

In the answer choice D - "The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year", there is an implicit underlying assumption.

Revenue is a function of price and quantity. This choice assumes that the price is the same as compared to last year. No where in the question, it talks about price of the receipt being the same.

There is also one answer choice which talks about price (though that choice is wrong).

As per your calculation, even if the average receipt per movie increased to 3 in the first half of the present year, this choice will not hold true if the price had come down to one-third or less than that of what it was last year.

I might be wrong or missed out on a logical link but if you have any suggestions/comments, it would help.

Thanks,
Ari


Hi ARI,
thats logical..you are thinking absolutely right....but actually the problem is understanding the meaning of RECEIPTS.

when the word "receipts" is used in this sort of context, it refers to the total revenue generated by the movies. in other words, this use of "receipts" is exactly the same as "gross revenue".===>It is not like ticket ....that will add up to give whole revenue.

if i say 50 receipts....means total revenue was 50

you can google out for the meaning of RECEIPTS.

NOW 50 dollar is revenue for last year..
and 60 dollar is for this year...

hope i made it clear.
_________________

When you want to succeed as bad as you want to breathe ...then you will be successfull....

GIVE VALUE TO OFFICIAL QUESTIONS...



GMAT RCs VOCABULARY LIST: http://gmatclub.com/forum/vocabulary-list-for-gmat-reading-comprehension-155228.html
learn AWA writing techniques while watching video : http://www.gmatprepnow.com/module/gmat-analytical-writing-assessment
: http://www.youtube.com/watch?v=APt9ITygGss

Intern
Intern
avatar
B
Joined: 24 Jun 2013
Posts: 20
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 15 Jul 2013, 05:03
Hi thanks again. Your answer is definitely helpful.
1 KUDOS received
Intern
Intern
avatar
Joined: 16 May 2013
Posts: 3
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 15 Jul 2013, 10:48
1
This post received
KUDOS
Taking the above fact in both the cases.
Case1: price increased-> revenue goes up.
Case2: price remained constant-> again revenue goes up.

So in either of the cases the revenue is going up. So D should be the correct option.
4 KUDOS received
Verbal Forum Moderator
Verbal Forum Moderator
User avatar
Joined: 16 Jun 2012
Posts: 1127
Location: United States
Premium Member
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 19 Oct 2013, 02:09
4
This post received
KUDOS
2
This post was
BOOKMARKED
ANALYZE THE STIMULUS:

Fact: Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year.
Fact: Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released.
Fact: The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far.

Question: If the statements above are true, which of the following must be true? <== This is MUST BE TRUE question, so NO "new" information accepted.

ANALYZE EACH ANSWER:

1. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year
Wrong. TEMPTING. We just know data of the FIRST half of this year. What if total receipt in the first half is more than 20%, but will decrease significantly in the second half? ==> We can't say total receipts this year will be significantly 20% greater than that of last year. A can't be answer.

2. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.
Wrong. Absolutely wrong, we don't know how many films were released in the first half of last year.

3. The price of a movie ticket has not increased since last year.
Wrong. Nothing about the price. Out of scope.

4. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.
Correct. Assume prices do not change significantly. In the first half, total receipts is 20% more than that of total last year. But the number of film released is fewer (20 vs. 50) ==> Clearly, average revenue of each film in the first half of this year is greater than that of film released last year.

5. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.
Wrong. Nothing about number of people. Out of scope.

Hope it helps
_________________

Please +1 KUDO if my post helps. Thank you.

"Designing cars consumes you; it has a hold on your spirit which is incredibly powerful. It's not something you can do part time, you have do it with all your heart and soul or you're going to get it wrong."

Chris Bangle - Former BMW Chief of Design.

Manager
Manager
avatar
Joined: 25 Oct 2013
Posts: 169
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 31 Oct 2013, 03:38
Are we are expected to know what is a "box office receipt" and how it is related to revenue?

-1 for the question. :cry:
_________________

Click on Kudos if you liked the post!

Practice makes Perfect.

GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 01 Oct 2013
Posts: 10159
Premium Member
Re: Box office receipts for independent movies for the first [#permalink]

Show Tags

New post 31 Jan 2015, 12:28
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.
Expert Post
MBA Section Director
User avatar
G
Joined: 19 Mar 2012
Posts: 3807
Location: India
GMAT 1: 760 Q50 V42
GPA: 3.8
WE: Marketing (Energy and Utilities)
Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 14 Feb 2015, 02:42
Expert's post
9
This post was
BOOKMARKED
Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year. Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released. The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far. If the statements above are true, which of the following must be true?

A. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year.

B. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.

C. The price of a movie ticket has not increased since last year.

D. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.

E. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.

[Reveal] Spoiler: OE
The text tells us that the revenues for independent movies for the first have of
this year are already greater than the total revenues for independent movies for
all of last year. We are then asked to draw a conclusion based on that
information.
(A) There is no way to predict box-office receipts for the year.
(B) There is no way to know how many movies were released in the first half of
last year.
(C) We cannot infer that the price of a movie ticket has not increased.
(D) CORRECT. The average revenue per film = total revenues ÷ number of films.
Revenues: We are told that the revenues for independent movies for the first half
of this year (say $1000) are already greater than the total revenues for all of last
year (say $999).
Number of Films: We know that more independent movies were released last
year (say 10) than in the first half of this year (say 9).
We can clearly see that the average revenues per film for independent movies in
the first half of this year ($1000 ÷ 9) are greater than the average revenues for all
independent movies released last year ($999 ÷ 10).
(E) We cannot infer that more people have seen movies in the first half of this
year, even though revenues are higher. It could be, for example, that the same
number of people saw movies but ticket prices have risen sharply.

_________________

My GMAT Resources
V30-V40: How to do it! | GMATPrep SC | GMATPrep CR | GMATPrep RC | Critical Reasoning Megathread | CR: Numbers and Statistics | CR: Weaken | CR: Strengthen | CR: Assumption | SC: Modifier | SC: Meaning | SC: SV Agreement | RC: Primary Purpose | PS/DS: Numbers and Inequalities | PS/DS: Combinatorics and Coordinates

My MBA Resources
Everything about the MBA Application | Over-Represented MBA woes | Fit Vs Rankings | Low GPA: What you can do | Letter of Recommendation: The Guide | Indian B Schools accepting GMAT score | Why MBA?

My Reviews
Veritas Prep Live Online

Intern
Intern
avatar
Joined: 27 Feb 2014
Posts: 28
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 15 Feb 2015, 08:27
1
This post was
BOOKMARKED
KS15 wrote:
souvik101990 wrote:
Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year. Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released. The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far. If the statements above are true, which of the following must be true?

A. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year.

B. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.

C. The price of a movie ticket has not increased since last year.

D. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.

E. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.





D for me



Hey,

It cannot be D since we cannot predict the revenue here as you don't know if the price of the receipts have been kept same or increased or decreased. Here the author talks about increased number of receipts which can only point to higher number of viewers. So it should be E.
Intern
Intern
avatar
Joined: 11 Dec 2013
Posts: 19
Location: India
Concentration: Finance, Technology
Schools: ISB '18
GMAT Date: 03-15-2015
WE: Operations (Telecommunications)
GMAT ToolKit User
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 15 Feb 2015, 09:21
Can anybody explain why A is wrong
1 KUDOS received
Intern
Intern
avatar
Joined: 27 Feb 2014
Posts: 28
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 16 Feb 2015, 01:10
1
This post received
KUDOS
4d wrote:
Can anybody explain why A is wrong



Dear 4d,

I'll try to explain it to you like this:
Total sales this year were 20% higher for the first half of the releases.

Is it possible to have no sales for the movies coming in the second half.
Yes

In that case would the total sales be significantly higher than 20% of total sales last year.
No

Does this option always hold to be true ?
No

The option we choose should always stay true in any drastic condition.

I hope it helps :-D

P.S: Let me know if you find anything wrong in my reasoning.
Intern
Intern
avatar
Joined: 11 Dec 2013
Posts: 19
Location: India
Concentration: Finance, Technology
Schools: ISB '18
GMAT Date: 03-15-2015
WE: Operations (Telecommunications)
GMAT ToolKit User
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 17 Feb 2015, 01:33
Hi,

I agree on the drastic case , which is somewhat unrealistic .
But in the argument -- where is it mentioned that the revenues are higher this year then the previous ?
Intern
Intern
avatar
Status: Preparing ...
Joined: 23 May 2005
Posts: 6
Location: United States (DE)
GMAT 1: 710 Q48 V39
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 17 Feb 2015, 16:36
Hi..

The "drastic" case is amusing. The stem mentions that the number of movies slated to be launched for second half is equal to the number already launched, and hence, is > 0, and unless these movies produce negative revenue (somewhat drastic, indeed) the accumulated total is going to rise.

In my humble opinion, the solution should be A.

Let's assume that there is indeed a drastic possibility of the so called OA being incorrect ... :)
Cheers,
Q
Intern
Intern
avatar
Joined: 27 Feb 2014
Posts: 28
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 18 Feb 2015, 06:05
quasar66 wrote:
Hi..

The "drastic" case is amusing. The stem mentions that the number of movies slated to be launched for second half is equal to the number already launched, and hence, is > 0, and unless these movies produce negative revenue (somewhat drastic, indeed) the accumulated total is going to rise.

In my humble opinion, the solution should be A.

Let's assume that there is indeed a drastic possibility of the so called OA being incorrect ... :)
Cheers,
Q



Dear quasar66,

A. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year.

What information is given in the question:
Number of tickets sold for the first half: x
Number of tickets sold for last year: Y

X= 1.2Y

Let's assume Y = 100000
Then X = 120000

In the next half of the year let's assume total tickets sold = 500(Because all the movies sucked, not drastic but quite possible)

Total Sales this year = 120500
Total Sales last year = 100000

Are sales this year SIGNIFICANTLY greater than 20% of last year's sales : Atleast not according to me.

Do let me know in the same humble opinion if there's anything wrong in this reasoning.
Intern
Intern
avatar
Joined: 21 Jan 2015
Posts: 1
Concentration: Operations, General Management
GMAT Date: 03-06-2015
GPA: 4
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 20 Feb 2015, 09:44
paandey wrote:
KS15 wrote:
souvik101990 wrote:
Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year. Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released. The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far. If the statements above are true, which of the following must be true?

A. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year.

B. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.

C. The price of a movie ticket has not increased since last year.

D. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.

E. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.





D for me



Hey,

It cannot be D since we cannot predict the revenue here as you don't know if the price of the receipts have been kept same or increased or decreased. Here the author talks about increased number of receipts which can only point to higher number of viewers. So it should be E.



Can any one clear the above reasoning. since we can not assume the price of the receipt, how D is correct? :roll:
Math Forum Moderator
User avatar
Joined: 06 Jul 2014
Posts: 1271
Location: Ukraine
Concentration: Entrepreneurship, Technology
GMAT 1: 660 Q48 V33
GMAT 2: 740 Q50 V40
GMAT ToolKit User Premium Member
Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 26 Feb 2015, 05:20
2
This post was
BOOKMARKED
fahadathar82 wrote:
paandey wrote:

Hey,

It cannot be D since we cannot predict the revenue here as you don't know if the price of the receipts have been kept same or increased or decreased. Here the author talks about increased number of receipts which can only point to higher number of viewers. So it should be E.



Can any one clear the above reasoning. since we can not assume the price of the receipt, how D is correct? :roll:


In this case "receipts" means "total turnover", not "tickets".
So we have bigger turnover. But we don't know reasons of this effect: maybe more customers, maybe higher price per ticket.
But we know that turnover of last year already less than turnover of this year.
In D we see "average per movie" comparison, so D it's correct answer.

Quote:
Collins Cobuild vocabulary:
2) Receipts are the amount of money received during a particular period, for example by a shop or theatre.

_________________

Simple way to always control time during the quant part.
How to solve main idea questions without full understanding of RC.
660 (Q48, V33) - unpleasant surprise
740 (Q50, V40, IR3) - anti-debrief ;)

1 KUDOS received
Intern
Intern
avatar
Joined: 27 Feb 2014
Posts: 28
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 26 Feb 2015, 05:49
1
This post received
KUDOS
Harley1980 wrote:
fahadathar82 wrote:
paandey wrote:

Hey,

It cannot be D since we cannot predict the revenue here as you don't know if the price of the receipts have been kept same or increased or decreased. Here the author talks about increased number of receipts which can only point to higher number of viewers. So it should be E.



Can any one clear the above reasoning. since we can not assume the price of the receipt, how D is correct? :roll:


In this case "receipts" means "total turnover", not "tickets".
So we have bigger turnover. But we don't know reasons of this effect: maybe more customers, maybe higher price per ticket.
But we know that turnover of last year already less than turnover of this year.
In D we see "average per movie" comparison, so D it's correct answer.

Quote:
Collins Cobuild vocabulary:
2) Receipts are the amount of money received during a particular period, for example by a shop or theatre.



Dear Cobuild,

Thanks for the much required clarification. But do you think such ambiguous question could actually be there during the actual exam ? Or was it just me for who the meaning of Receipts was not clear ?
Math Forum Moderator
User avatar
Joined: 06 Jul 2014
Posts: 1271
Location: Ukraine
Concentration: Entrepreneurship, Technology
GMAT 1: 660 Q48 V33
GMAT 2: 740 Q50 V40
GMAT ToolKit User Premium Member
Re: Inference Revision: Box office receipts for independent movies [#permalink]

Show Tags

New post 26 Feb 2015, 06:28
paandey wrote:
Dear Cobuild,

Thanks for the much required clarification. But do you think such ambiguous question could actually be there during the actual exam ? Or was it just me for who the meaning of Receipts was not clear ?


I read like 3 or 4 debriefs from people with top GMAT score and they told that sometimes Verbal questions from Manhattan GMAT a little strange.
So maybe this is such case.
_________________

Simple way to always control time during the quant part.
How to solve main idea questions without full understanding of RC.
660 (Q48, V33) - unpleasant surprise
740 (Q50, V40, IR3) - anti-debrief ;)

Re: Inference Revision: Box office receipts for independent movies   [#permalink] 26 Feb 2015, 06:28

Go to page    1   2    Next  [ 36 posts ] 

    Similar topics Author Replies Last post
Similar
Topics:
Experts publish their posts in the topic Inference Revision: Box office receipts for independent movies souvik101990 0 18 May 2015, 06:17
5 There are far fewer independent bookstores waltiebikkiebal 5 17 Mar 2016, 11:16
10 Holiday receipts the total sales recorded in the fourth CharuKapoor 4 04 Jul 2014, 08:38
10 Experts publish their posts in the topic Box office receipts for independent movies for the first nitzz 12 20 Jan 2016, 13:23
39 Experts publish their posts in the topic Outsourcing is the practice of obtaining from an independent eyunni 35 09 Apr 2017, 05:37
Display posts from previous: Sort by

Box office receipts for independent movies for the first

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.