Traj201090 wrote:
Hi
Bunuel GMATNinja DmitryFarberNeed some clarity wrt option 'A'.
Beside relying on overall cost decline which is the most evident sign that help resolve the discrepancy, Can we not make a fair assumption that a fuel product, yielded from increased production of sugarcane, would have resulted in the higher profit ? This is the only reason I eliminated this option.
Take another look at (A):
Quote:
(A) Many countries that are large consumers of sugarcane increased their production of sugarcane-based ethanol, yet their overall consumption of sugarcane decreased.
(A) gives us some details about
how certain countries are using sugarcane -- they're increasingly producing ethanol. But then we learn that these countries' "overall consumption of sugarcane
decreased." In other words, they're shifting some sugarcane usage toward ethanol, but overall they're still using LESS sugarcane than they did previously.
This is why (A) doesn't explain the rise in profits. If these countries are using less sugarcane, then we'd expect lower sales of sugarcane, and thus lower profits.
(A) is the correct answer.
I hope that helps!
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