shivamchugh89
Hi Mike
I still doubt the explanation and the OA given here. In your explanation of C you have mentioned that "Just because percent goes up does NOT mean that overall profits went up". Does this not totally fit into option D as well. According to you for D previous share was 10% and this years share is 25% which is an improvement. Here also just because %age went up does not mean that profits also went up. Last year the profit could be 1000 Dollars and chem div share could be 100 dollars, whereas if this year it is 100 dollars,even with 25% the profits could still be lower. IMO C does not still really fit into the solution.
Please correct me if I am wrong.
Thanks
Dear
shivamchugh89,
I'm happy to respond.
Remember that this is an official question, from GMAT Prep. It's the nature of official GMAT CR questions that, while only one answer choice is definitively correct, the other four are tempting and, from a certain perspective, might seem correct. Our job on the GMAT CR is NOT to try to find the special perspective that will make a tempting wrong answer appear correct. Our job is to discern which is the best answer. This can be very tricky.
Here's the prompt again.
Corporate Officer: Last year was an unusually poor one for our pharmaceutical division, which has traditionally contributed about 70 percent of the corporation’s profits. It is therefore encouraging that there is the following evidence that the chemical division is growing stronger: it contributed 25 percent of the corporation’s profit up from 10 percent the previous year. As well have discussed on this thread, and as you seem to understand, the screaming fallacy in what the Corporate Officer says is the conflation of percentage increase with dollar amount increase. He equates those two, and they may not be equivalent. As I demonstrated with the numerical examples above, percents of certain departments could go up, even if dollar amount went down.
Now, the specific question:
On the basis of the facts stated which of the following is the best critique of the evidence presented above?Some of the incorrect answers might be indirect critiques, or might be ambiguous. The best will be the answer that zeros in on the screaming fallacy in the prompt.
I'll just analyze the two choices you cited:
(C) The percentage of the corporation’s profits attributable to the chemical division could have increased even if that division’s performance had not improved.AHA! The difference of a percent increase vs. a dollar increase! This answer says: a percent increase may not equal a dollar increase, and that is precisely the oversight of the Corporate Officer. This answer choice makes a direct bull's eye hit on the major fallacy of the prompt.
(D) The information cited does not make it possible to determine whether the 25 percent share of profits cited was itself an improvement over the year before.What does the author mean by "
improvement"? Does he mean a percentage increase or a dollar increase? If the person saying this is of the same mindset as the Corporate Officer, then they both will agree that 25% is an improvement over 10%. If the person saying this has the same understanding as the speaker of (C), then this would be an equivalent objection. The trouble is: there's ambiguity. It could be another valid devastating objection, as (C) is, but it depends on the reading we give to the word "
improvement" --- we don't know how the speaker intended that word. This choice leaves us with questions.
A maybe, possible objection is not as good as a solid, unambiguous objection. That's why (C) is a better answer than (D), and the best answer overall.
Does all this make sense?
Mike