GMAT Question of the Day - Daily to your Mailbox; hard ones only

It is currently 20 Aug 2018, 15:39

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

Community activist: If Morganville wants to keep its central

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

Hide Tags

Manager
Manager
User avatar
Joined: 17 Jul 2008
Posts: 224
Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 23 Jul 2009, 21:44
8
38
00:00
A
B
C
D
E

Difficulty:

  45% (medium)

Question Stats:

67% (01:11) correct 33% (01:29) wrong based on 2360 sessions

HideShow timer Statistics

Edit: This discussion has retired. Find the new thread HERE


Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

The answer to which of the following would be most useful for evaluating the community activist’s reasoning?

A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
E. Do newly opened SaveAll stores ever lose money during their first five years of operation?

OG2017 CR632 P535

_________________

Please give kudos if you enjoy the explanations that I have given. Thanks :)

Most Helpful Community Reply
Senior Manager
Senior Manager
User avatar
Joined: 11 Dec 2008
Posts: 455
Location: United States
GMAT 1: 760 Q49 V44
GPA: 3.9
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 27 Jul 2009, 13:20
9
Jivana wrote:
B: for me.

C has a very strong case, but I think B calls out a more fundamental issue than C does.

B:
Currently, do people shop in the central shopping district? If yes, then yeah saveall will cause a major problem. But if people do not, then saveall's effects on past bankruptcies as a reason to not allow them to open shop does not hold much water.

And if people, do shop in the central shopping district then allowing saveall to open shop can definitely play a big part in future bankruptcies.

C: The key piece of info missing here is SaveAll's effect on these bankruptcies. Even if we were to know how many shops go bankrupt during a five-year period, it has no correlation to SaveAll's effects.

Between, B & C --> B sounds more reasonable to me.


The problem with B is that even if you know whether most people in Morganville shop in the central district, Saveall might still cause bankruptcies because everyone will move to Saveall. If you knew whether most people in OTHER districts used to shop in the central district, before Saveall was opened, that may help.

I think you're missing what C states.
25% of shops go bankrupt after Saveall opens. If 5% go bankrupt during a five-year period, Saveall is "correlated" with a 20% increase in bankruptcies. If 25% of shops go bankrupt, then there's no real correlation between Saveall and an increase in bankruptcies. Thus knowing the "a priori" percentage of bankruptcies would help in evaluating whether or not Saveall contributes to such an effect.
General Discussion
Manager
Manager
avatar
Joined: 14 Jun 2009
Posts: 87
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 23 Jul 2009, 21:57
2
A,D and E>> are irrelevant...

b/w B and C

will go with option C, since it looks at another unexplored area of the stats given by the activist, so the answer to this question will help evaluate the activist's reasoning.
Senior Manager
Senior Manager
User avatar
Joined: 11 Dec 2008
Posts: 455
Location: United States
GMAT 1: 760 Q49 V44
GPA: 3.9
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 26 Jul 2009, 20:00
5
3
I pick C. The author suggests that the opening of the saveall store causes bankruptcies to occur in 25% of the stores in the shopping district. if we were to know what the percentage of stores went bankrupt, independent of the effects of saveall, it would shed insight on whether or not saveall contributes to the effect, and thus help us evaluate the author's reasoning.
Senior Manager
Senior Manager
User avatar
Joined: 20 Mar 2008
Posts: 436
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 26 Jul 2009, 20:32
1
B: for me.

C has a very strong case, but I think B calls out a more fundamental issue than C does.

B:
Currently, do people shop in the central shopping district? If yes, then yeah saveall will cause a major problem. But if people do not, then saveall's effects on past bankruptcies as a reason to not allow them to open shop does not hold much water.

And if people, do shop in the central shopping district then allowing saveall to open shop can definitely play a big part in future bankruptcies.

C: The key piece of info missing here is SaveAll's effect on these bankruptcies. Even if we were to know how many shops go bankrupt during a five-year period, it has no correlation to SaveAll's effects.

Between, B & C --> B sounds more reasonable to me.
Senior Manager
Senior Manager
avatar
Joined: 08 Jan 2009
Posts: 310
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post Updated on: 25 Oct 2016, 06:06
1
Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the
opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small
towns show that whenever SaveAll has opened a store outside the central shopping district of a small town,
within fi ve years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping
district.
The answer to which of the following would be most useful for evaluating the community activist’s reasoning?
(A) Have community activists in other towns successfully campaigned against the opening of a SaveAll store
on the outskirts of their towns?
(B) Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in
Morganville?
(C) In towns with healthy central shopping districts, what proportion of the stores in those districts suffer
bankruptcy during a typical fi ve-year period?
(D) What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn from
Morganville?
(E) Do newly opened SaveAll stores ever lose money during their fi rst fi ve years of operation?

Please explain? I choose an another answer


Originally posted by tkarthi4u on 05 Sep 2009, 09:33.
Last edited by abhimahna on 25 Oct 2016, 06:06, edited 1 time in total.
Added OA
Director
Director
User avatar
Joined: 04 Jan 2008
Posts: 818
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 05 Sep 2009, 10:58
its OG 12#72(Tag added)

what was yr choice?

cant be as OE says...Whether SaveAlls tend to make or lose money in their first five years has no obvious bearing on whether they are apt to undermine the health of the town’s shopping districts.
_________________

http://gmatclub.com/forum/math-polygons-87336.html
http://gmatclub.com/forum/competition-for-the-best-gmat-error-log-template-86232.html

Senior Manager
Senior Manager
avatar
Joined: 08 Jan 2009
Posts: 310
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 05 Sep 2009, 19:05
I took B as my answer choice. Will like some one to explain C and point Why B is wrong.
Director
Director
User avatar
Joined: 04 Jan 2008
Posts: 818
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 05 Sep 2009, 20:20
1
1
As per OG 12
Situation: Morganville should stop SaveAll from opening a store on its outskirts if it wants to keep
its shopping district healthy. Other small towns have experienced bankruptcies in
25 percent of the stores in their central shopping district within five years after such
openings.

REASONING:Which option provides the information that it would be most useful to know in evaluating the argument? Th e argument contends that if SaveAll opens a store in Morganville, then that
will somehow undermine the health of the shopping district. Two basic questions arise
when evaluating the bankruptcy data from other small towns: (1) Did the opening of
SaveAlls cause any of these bankruptcies? No information is given about bankruptcy
rates in small towns without SaveAlls. (2) Is a 25 percent bankruptcy rate over five years
unhealthy?

OE for B&C

B The conclusion would be supported just as well—or as poorly—if this question were answered with a yes as with a no.
C Correct. This option provides the information that it would be most useful to know in evaluating
the argument.

_________________

http://gmatclub.com/forum/math-polygons-87336.html
http://gmatclub.com/forum/competition-for-the-best-gmat-error-log-template-86232.html

Director
Director
User avatar
Joined: 01 Apr 2008
Posts: 821
Name: Ronak Amin
Schools: IIM Lucknow (IPMX) - Class of 2014
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 06 Sep 2009, 22:54
V good question :)
B and C are top contenders...however C wins at the end because B asks a roundabout question and C directly attacks the conclusion..
Intern
Intern
avatar
Joined: 04 Apr 2011
Posts: 2
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 18 Apr 2011, 18:36
1
bipolarbear wrote:
Jivana wrote:
B: for me.

C has a very strong case, but I think B calls out a more fundamental issue than C does.

B:
Currently, do people shop in the central shopping district? If yes, then yeah saveall will cause a major problem. But if people do not, then saveall's effects on past bankruptcies as a reason to not allow them to open shop does not hold much water.

And if people, do shop in the central shopping district then allowing saveall to open shop can definitely play a big part in future bankruptcies.

C: The key piece of info missing here is SaveAll's effect on these bankruptcies. Even if we were to know how many shops go bankrupt during a five-year period, it has no correlation to SaveAll's effects.

Between, B & C --> B sounds more reasonable to me.


The problem with B is that even if you know whether most people in Morganville shop in the central district, Saveall might still cause bankruptcies because everyone will move to Saveall. If you knew whether most people in OTHER districts used to shop in the central district, before Saveall was opened, that may help.

I think you're missing what C states.
25% of shops go bankrupt after Saveall opens. If 5% go bankrupt during a five-year period, Saveall is "correlated" with a 20% increase in bankruptcies. If 25% of shops go bankrupt, then there's no real correlation between Saveall and an increase in bankruptcies. Thus knowing the "a priori" percentage of bankruptcies would help in evaluating whether or not Saveall contributes to such an effect.


B is correct. What if people currently don't buy departmental items from Morganville (shopping might be currently healthy due to jewellery, electronics etc. we don't know about it). But, it will atleast address the basic check point.
C is so generic. It doesn't confine the search to towns that are affected by SaveAll alone. Bankruptcy could be due to several reason.
Manager
Manager
avatar
Joined: 25 Aug 2008
Posts: 182
Location: India
WE 1: 3.75 IT
WE 2: 1.0 IT
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 19 Apr 2011, 06:39
I selected B, but also agree to the explanation provided for C. As of now confused.. :? :?
What is OA??
_________________

Cheers,
Varun


If you like my post, give me KUDOS!!

Director
Director
User avatar
Joined: 21 Dec 2010
Posts: 532
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 27 Apr 2011, 11:40
again C is clear, i dont understand at all how B comes into the picture ?
_________________

What is of supreme importance in war is to attack the enemy's strategy.

Manager
Manager
User avatar
Status: One last try =,=
Joined: 11 Jun 2010
Posts: 135
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 27 Apr 2011, 21:14
1
Conclusion: If Morganville wants to keep its central shopping district healthy, it should prevent the
opening of a huge SaveAll discount department store on the outskirts of Morganville.

Apply the Variance Test for B:
Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in
Morganville?
- The response is Yes: A large percentage of the residents of Morganville currently DO almost all of their shopping at stores in Morganville. Does this statement strengthen or weaken the conclusion?
- The response is NO: A large percentage of the residents of Morganville currently DO NOT do almost all of their shopping at stores in Morganville. Again, does this statement have any effect on the conclusion?
_________________

There can be Miracles when you believe

Manager
Manager
User avatar
Status: ==GMAT Ninja==
Joined: 08 Jan 2011
Posts: 218
Schools: ISB, IIMA ,SP Jain , XLRI
WE 1: Aditya Birla Group (sales)
WE 2: Saint Gobain Group (sales)
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 17 Jun 2011, 13:30
perfectstranger wrote:
Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

The answer to which of the following would be most useful for evaluating the community activist’s reasoning?

A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
E. Do newly opened SaveAll stores ever lose money during their first five years of operation?

OA after some explanations...[code][/code]


This question was really a 750 level Question
because it looks so simple to answer B (as most of us . at least 50% has given in their answers)
but when we dig deeper it comes out to be C........
i also fell in the trap.... :ouch :cry:
dont know what would be my reply if this kind of question appears in my real GMAT :( :(
_________________

WarLocK
_____________________________________________________________________________
The War is oNNNNNNNNNNNNN for 720+
see my Test exp here http://gmatclub.com/forum/my-test-experience-111610.html
do not hesitate me giving kudos if you like my post. :)

Retired Moderator
avatar
Joined: 20 Dec 2010
Posts: 1877
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 17 Jun 2011, 13:52
perfectstranger wrote:
Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

The answer to which of the following would be most useful for evaluating the community activist’s reasoning?

A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
E. Do newly opened SaveAll stores ever lose money during their first five years of operation?

OA after some explanations...[code][/code]


I think there are few assumptions in this passage; Considering those assumptions.

B makes more sense:

Hypothetical but a possible case:
If 100 people are in the town and they are all shopping outside the town already, then how is opening of SaveAll affect central shopping district, which is in the town?
If 90 people shop in town, then there is a possibility that Saveall causes the trouble.
Thus, two different answers to this question is helping us gauge the argument.

C: Suppose C evaluation says 100% suffered bankruptcy. How does it affect Morganville? The evaluation will be as good as the premise.
Maybe all the other towns had dilapidated stores and in their town OR the stores sold rotten goods. Thus, it was not the discount that attracted the consumers, but its quality and aesthetic.
And Morganvilles' stores can be very different from the other towns stores.

Ans: "B"
_________________

~fluke

GMAT Club Premium Membership - big benefits and savings

Manager
Manager
User avatar
Status: ==GMAT Ninja==
Joined: 08 Jan 2011
Posts: 218
Schools: ISB, IIMA ,SP Jain , XLRI
WE 1: Aditya Birla Group (sales)
WE 2: Saint Gobain Group (sales)
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 17 Jun 2011, 14:10
1
fluke wrote:
perfectstranger wrote:
Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

The answer to which of the following would be most useful for evaluating the community activist’s reasoning?

A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
E. Do newly opened SaveAll stores ever lose money during their first five years of operation?

OA after some explanations...[code][/code]


I think there are few assumptions in this passage; Considering those assumptions.

B makes more sense:

Hypothetical but a possible case:
If 100 people are in the town and they are all shopping outside the town already, then how is opening of SaveAll affect central shopping district, which is in the town?
If 90 people shop in town, then there is a possibility that Saveall causes the trouble.
Thus, two different answers to this question is helping us gauge the argument.

C: Suppose C evaluation says 100% suffered bankruptcy. How does it affect Morganville? The evaluation will be as good as the premise.
Maybe all the other towns had dilapidated stores and in their town OR the stores sold rotten goods. Thus, it was not the discount that attracted the consumers, but its quality and aesthetic.
And Morganvilles' stores can be very different from the other towns stores.

Ans: "B"

dear fluke
its an og question
answer is c :? :?
_________________

WarLocK
_____________________________________________________________________________
The War is oNNNNNNNNNNNNN for 720+
see my Test exp here http://gmatclub.com/forum/my-test-experience-111610.html
do not hesitate me giving kudos if you like my post. :)

Retired Moderator
avatar
Joined: 20 Dec 2010
Posts: 1877
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 17 Jun 2011, 16:32
1
1
Warlock007 wrote:
dear fluke
its an og question
answer is c :? :?


Thanks Warlock007:

I ignored the usage of article "a" and the usage of simple present tense(which conveys facts). "C" does make sense.

C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?

I considered it "the" -- the 5 year period in which SaveAll was at their backyard.
C actually says: in any given 5 year period without SaveAll at the backyard, how many of them go bankrupt.

Arrrrghhhhhhhhh!!!!! :evil:
_________________

~fluke

GMAT Club Premium Membership - big benefits and savings

Director
Director
avatar
Status: Prep started for the n-th time
Joined: 29 Aug 2010
Posts: 560
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 17 Jun 2011, 17:49
3
C it is.

Apply variance test

To apply the variance test , you should choose polar opposite answers:


In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?

Ans 1 : More than a quarter (25%) : Well that means SaveAll does not cause bankruptcies. Since it is happening in towns with Healthy shopping districts, it must be normal for a quarter to go bankrupt in 5 year period.


Ans 2 : Less than a quarter(25 %) : That means SaveAll does cause some stores to go bankrupt.


Crick
Manager
Manager
User avatar
Status: ==GMAT Ninja==
Joined: 08 Jan 2011
Posts: 218
Schools: ISB, IIMA ,SP Jain , XLRI
WE 1: Aditya Birla Group (sales)
WE 2: Saint Gobain Group (sales)
Re: Community activist: If Morganville wants to keep its central  [#permalink]

Show Tags

New post 18 Jun 2011, 03:28
fluke wrote:
Warlock007 wrote:
dear fluke
its an og question
answer is c :? :?


Thanks Warlock007:

I ignored the usage of article "a" and the usage of simple present tense(which conveys facts). "C" does make sense.

C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?

I considered it "the" -- the 5 year period in which SaveAll was at their backyard.
C actually says: in any given 5 year period without SaveAll at the backyard, how many of them go bankrupt.

Arrrrghhhhhhhhh!!!!! :evil:



Hey Fluke
I think this kind of traps make it tough cracking 700+ on gmat.....
_________________

WarLocK
_____________________________________________________________________________
The War is oNNNNNNNNNNNNN for 720+
see my Test exp here http://gmatclub.com/forum/my-test-experience-111610.html
do not hesitate me giving kudos if you like my post. :)

Re: Community activist: If Morganville wants to keep its central &nbs [#permalink] 18 Jun 2011, 03:28

Go to page    1   2   3    Next  [ 56 posts ] 

Display posts from previous: Sort by

Community activist: If Morganville wants to keep its central

  post reply Question banks Downloads My Bookmarks Reviews Important topics  

Events & Promotions

PREV
NEXT


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

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne

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®.