It is currently 19 Sep 2017, 13:59

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

Formulas for cash flow and the ratio of debt to equity do

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

Hide Tags

VP
VP
User avatar
Joined: 03 Apr 2007
Posts: 1344

Kudos [?]: 798 [0], given: 10

Reviews Badge
Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 24 Feb 2008, 16:26
3
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

  35% (medium)

Question Stats:

65% (01:10) correct 35% (01:23) wrong based on 268 sessions

HideShow timer Statistics

Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(A) Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(B) Because they are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses.
(C) Because they are growing and are seldom in equilibrium, new small businesses are not subject to the same applicability of formulas for cash flow and the ratio of debt to equity as established big businesses.
(D) Because new small businesses are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to them in the same way as to established big businesses.
(E) New small businesses are not subject to the applicability of formulas for cash flow and the ratio of debt to equity in the same way as established big businesses, because they are growing and are seldom in equilibrium

I spent 5 minutes on this question and finally got it right. Is there a quicker way to solve this beast?
[Reveal] Spoiler: OA

Last edited by PiyushK on 16 Oct 2014, 12:46, edited 1 time in total.
Added OA.

Kudos [?]: 798 [0], given: 10

SVP
SVP
avatar
Joined: 28 Dec 2005
Posts: 1549

Kudos [?]: 173 [0], given: 2

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 24 Feb 2008, 16:53
D.

Eliminated A and E because 'they' refers to big businesses, which is incorrect. Eliminated B due to modifier issue. Down to C and D, and eliminated C because 'applicability of formulas' seemed incorrect ... very wordy

Kudos [?]: 173 [0], given: 2

Senior Manager
Senior Manager
User avatar
Joined: 15 Aug 2007
Posts: 286

Kudos [?]: 108 [0], given: 0

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 03 Mar 2008, 03:21
I feel gunned down when I see full underlined questions. ( Hate the poster too :evil: , just kidding )

I took a bit long ... but not 5 mins ... so here is my POE.

As I read the first option , came along "they". (Manhattan SC says it is one of the deadly pronouns ).

No clear referent, checked other options for they or them.
Eliminate A,B(formulas are growing),E(no clear referent).

Between C and D, eliminate C for improper usage of AS.

Ans: D

Kudos [?]: 108 [0], given: 0

Senior Manager
Senior Manager
User avatar
Joined: 15 Jan 2008
Posts: 281

Kudos [?]: 47 [0], given: 3

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 03 Mar 2008, 07:08
i am confused between C and D.

the modifier is perfect in C.

in D, 'them' is ambiguous.

but i feel D is better..
confused.. whats the OA ?

Kudos [?]: 47 [0], given: 3

VP
VP
User avatar
Joined: 03 Apr 2007
Posts: 1344

Kudos [?]: 798 [0], given: 10

Reviews Badge
Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 03 Mar 2008, 19:44
Neochronic wrote:
i am confused between C and D.

the modifier is perfect in C.

in D, 'them' is ambiguous.

but i feel D is better..
confused.. whats the OA ?


In D, :"formulas" is the subject . "Small businesses" is the object.
->Them refers to "Small businesses"

Kudos [?]: 798 [0], given: 10

VP
VP
User avatar
Joined: 03 Apr 2007
Posts: 1344

Kudos [?]: 798 [0], given: 10

Reviews Badge
Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 03 Mar 2008, 19:45
goalsnr wrote:
Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(A) Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(B) Because they are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses.
(C) Because they are growing and are seldom in equilibrium, new small businesses are not subject to the same applicability of formulas for cash flow and the ratio of debt to equity as established big businesses.
(D) Because new small businesses are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to them in the same way as to established big businesses.
(E) New small businesses are not subject to the applicability of formulas for cash flow and the ratio of debt to equity in the same way as established big businesses, because they are growing and are seldom in equilibrium

I spent 5 minutes on this question and finally got it right. Is there a quicker way to solve this beast?


Good job folks. The OA is D

Kudos [?]: 798 [0], given: 10

Director
Director
User avatar
Joined: 08 Jun 2007
Posts: 575

Kudos [?]: 109 [0], given: 0

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 03 Mar 2008, 21:04
goalsnr wrote:
goalsnr wrote:
[u]
(D) Because new small businesses are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to them in the same way as to established big businesses.


Good job folks. The OA is D


In D , is it not possible that that "them" can refer back to formulas ? I see an referent problem

Kudos [?]: 109 [0], given: 0

Senior Manager
Senior Manager
User avatar
Joined: 15 Aug 2007
Posts: 286

Kudos [?]: 108 [0], given: 0

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 03 Mar 2008, 22:37
If I replace with what you say,

Because new small businesses are growing and are seldom in equilibrium, formulas do not apply to them in the same way as to established big businesses.

Now,
Because new small businesses are growing and are seldom in equilibrium, formulas do not apply to formulas in the same way as to established big businesses.

Kudos [?]: 108 [0], given: 0

Intern
Intern
avatar
Joined: 05 Mar 2008
Posts: 1

Kudos [?]: [0], given: 0

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 05 Mar 2008, 04:41
i was contemplating between option C and D... however in c, the end of sentence should be " as established big businesses are "

In D, them does refer to businesses. hence correct answer is D

Kudos [?]: [0], given: 0

Manager
Manager
avatar
Joined: 04 Jan 2011
Posts: 80

Kudos [?]: 137 [0], given: 4

Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 15 Mar 2011, 20:24
1
This post was
BOOKMARKED
312. Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(A) Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(B) Because they are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses.
(C) Because they are growing and are seldom in equilibrium, new small businesses are not subject to the same applicability of formulas for cash flow and the ratio of debt to equity as established big businesses.
(D) Because new small businesses are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to them in the same way as to established big businesses.
(E) New small businesses are not subject to the applicability of formulas for cash flow and the ratio of debt to equity in the same way as established big businesses, because they are growing and are seldom in equilibrium.

Kudos [?]: 137 [0], given: 4

Manager
Manager
avatar
Joined: 05 Jan 2011
Posts: 171

Kudos [?]: 181 [0], given: 8

Re: 312/1000 - Small business vs big business [#permalink]

Show Tags

New post 15 Mar 2011, 20:45
fanatico wrote:
312. Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(A) Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.
(B) Because they are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses.
(C) Because they are growing and are seldom in equilibrium, new small businesses are not subject to the same applicability of formulas for cash flow and the ratio of debt to equity as established big businesses.
(D) Because new small businesses are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to them in the same way as to established big businesses.
(E) New small businesses are not subject to the applicability of formulas for cash flow and the ratio of debt to equity in the same way as established big businesses, because they are growing and are seldom in equilibrium.


In A,B Structurally "they" refers to formulas which is wrong
In C and E applicability of formulas is wordy .....I think verb forms are always better than noun forms in GMAT..
Thus D.

Kudos [?]: 181 [0], given: 8

Director
Director
avatar
Status: Impossible is not a fact. It's an opinion. It's a dare. Impossible is nothing.
Affiliations: University of Chicago Booth School of Business
Joined: 03 Feb 2011
Posts: 872

Kudos [?]: 389 [0], given: 123

Reviews Badge
Re: 312/1000 - Small business vs big business [#permalink]

Show Tags

New post 15 Mar 2011, 21:36
Between C and D

In C - "they" refers to small businesses but comparison is wrong.

D remains.

Kudos [?]: 389 [0], given: 123

Manager
Manager
avatar
Joined: 04 Jan 2011
Posts: 80

Kudos [?]: 137 [0], given: 4

Re: 312/1000 - Small business vs big business [#permalink]

Show Tags

New post 15 Mar 2011, 21:45
Thank you...missed to notice the comparison problem in C

Kudos [?]: 137 [0], given: 4

1 KUDOS received
Senior Manager
Senior Manager
avatar
Joined: 09 Feb 2011
Posts: 273

Kudos [?]: 212 [1], given: 13

Concentration: General Management, Social Entrepreneurship
Schools: HBS '14 (A)
GMAT 1: 770 Q50 V47
Re: 312/1000 - Small business vs big business [#permalink]

Show Tags

New post 15 Mar 2011, 21:53
1
This post received
KUDOS
(A) Formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses, because they are growing and are seldom in equilibrium.:Subject of first clause is formulas- formaulas dont apply- so in the clause satrting with because- the subject 'they' stands for formula. Inappropriate, hence wrong.
(B) Because they are growing and are seldom in equilibrium, formulas for cash flow and the ratio of debt to equity do not apply to new small businesses in the same way as they do to established big businesses.Same reason as above - formulas are the subject pointed to by 'they' in the because part of the sentence.Incorrect
(C) Because they are growing and are seldom in equilibrium, new small businesses are not subject to the same applicability of formulas for cash flow and the ratio of debt to equity as established big businesses.Applicability sounds unidiomatic- also sentence seems to imply that formulas dont apply at all-while the implication should be that the formulas dont apply in the same way as to the big businesses
(E) New small businesses are not subject to the applicability of formulas for cash flow and the ratio of debt to equity in the same way as established big businesses, because they are growing and are seldom in equilibrium.awckward and wordy construction, use of applicability- [/quote]

Kudos [?]: 212 [1], given: 13

2 KUDOS received
Manager
Manager
avatar
Joined: 04 Jan 2014
Posts: 100

Kudos [?]: 33 [2], given: 20

GMAT ToolKit User
Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 18 Jun 2014, 04:31
2
This post received
KUDOS
1
This post was
BOOKMARKED
I'm too late on this question. However it could help you. I could find a a clash between "C" and "D"..

In C, "as" is used to compare the 2 nouns (small and big business), which is wrong.
In D, "as" is used to compare the ways used in small and big business that makes it right.

Help me if I am wrong...

Kudos [?]: 33 [2], given: 20

GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 01 Oct 2013
Posts: 10157

Kudos [?]: 253 [0], given: 0

Premium Member
Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 16 Oct 2014, 03:03
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.

Kudos [?]: 253 [0], given: 0

Intern
Intern
avatar
Joined: 19 Jun 2014
Posts: 13

Kudos [?]: 1 [0], given: 11

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 16 Oct 2014, 21:51
Is B incorrect because - " Because they are growing and seldom in equilibrium" is ambiguous for a modifier ?
Please correct me here

Kudos [?]: 1 [0], given: 11

Manager
Manager
avatar
Joined: 28 Jul 2013
Posts: 86

Kudos [?]: 42 [0], given: 37

Location: India
Concentration: Marketing, Strategy
GPA: 3.62
WE: Engineering (Manufacturing)
Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 06 Jan 2015, 19:22
"them" refers to "small business" unambiguously

Kudos [?]: 42 [0], given: 37

VP
VP
User avatar
S
Joined: 18 Sep 2014
Posts: 1208

Kudos [?]: 836 [0], given: 75

Location: India
GMAT ToolKit User Premium Member Reviews Badge
Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 26 Nov 2015, 09:43
Quote:
OE:

In A, the they after because is ambiguous; it seems illogically to refer to Formulas because they and Formulas are each the grammatical subject of a clause and because the previous they refers to Formulas.

In A and B, do not apply to in the same way as they do to is wordy and awkward.

D, the best choice, says more concisely in the same way as to.

Also in B, because they refers to formulas, the introductory clause states confusedly that the formulas are growing.

In C and E, subject to the [same] applicability of... is wordy, awkward, and imprecise; furthermore, are is preferable to either before or after established big businesses to complete the comparison.
Finally, the referent of they is not immediately clear in E.


I did not understand how and why are is important as indicated in OE above in option C. Can someone explain C in terms of comparison only.
_________________

The only time you can lose is when you give up. Try hard and you will suceed.
Thanks = Kudos. Kudos are appreciated

http://gmatclub.com/forum/rules-for-posting-in-verbal-gmat-forum-134642.html
When you post a question Pls. Provide its source & TAG your questions
Avoid posting from unreliable sources.


My posts
http://gmatclub.com/forum/beauty-of-coordinate-geometry-213760.html#p1649924
http://gmatclub.com/forum/calling-all-march-april-gmat-takers-who-want-to-cross-213154.html
http://gmatclub.com/forum/possessive-pronouns-200496.html
http://gmatclub.com/forum/double-negatives-206717.html
http://gmatclub.com/forum/the-greatest-integer-function-223595.html#p1721773
https://gmatclub.com/forum/improve-reading-habit-233410.html#p1802265

Kudos [?]: 836 [0], given: 75

Expert Post
1 KUDOS received
Manhattan GMAT Instructor
User avatar
B
Joined: 22 Mar 2011
Posts: 1088

Kudos [?]: 1122 [1], given: 29

Re: Formulas for cash flow and the ratio of debt to equity do [#permalink]

Show Tags

New post 26 Nov 2015, 13:30
1
This post received
KUDOS
Expert's post
3
This post was
BOOKMARKED
The point about "are" is that C says that small businesses "are not subject to the same XYZ as big businesses." It would be helpful to provide an "are" to complete the comparison: "small businesses are not subject to the same XYZ as are big businesses."

In a simple sentence, we don't need this clarification:

I'm not as strong as you.

But in a sentence with even a slight bit more complexity, that verb can make a big difference. Compare these:

I'm more interested in economics than you.
I'm more interested in economics than you are.


We would probably figure out the intended meaning in the first case (especially if we consider ourselves more interesting than economics), but the second is clearer.

Now look at a sentence with a more involved second half:

The singer is less excited about the concert than the legions of fans seeking her autograph.

This sentence is truly ambiguous. Is she more excited about the fans than about the concert (notice my second "about" to make that clear), or are the fans more excited about the concert than she is? Let's rewrite to indicate the former meaning and then the latter:

The singer is less excited about the concert than about the legions of fans seeking her autograph.
The singer is less excited about the concert than are the legions of fans seeking her autograph.

Here, we put the "are" before that long noun phrase at the end just to make it easier to catch. We could technically put it at the end, but it would be less useful there--by the end, either you've interpreted the meaning correctly or you haven't, and so it's better to make the intended meaning clear sooner.
_________________


Dmitry Farber | Manhattan GMAT Instructor | New York


Manhattan GMAT Discount | Manhattan GMAT Course Reviews | View Instructor Profile |
Manhattan GMAT Reviews

Kudos [?]: 1122 [1], given: 29

Re: Formulas for cash flow and the ratio of debt to equity do   [#permalink] 26 Nov 2015, 13:30

Go to page    1   2    Next  [ 23 posts ] 

    Similar topics Author Replies Last post
Similar
Topics:
18 The Chicago and Calumet Rivers originally flowed into the bakfed 16 25 Oct 2015, 02:21
11 EXPERTS_POSTS_IN_THIS_TOPIC Cash flows to stock and bond mutual funds have gained strength in the inakihernandez 9 28 Jul 2017, 00:44
137 EXPERTS_POSTS_IN_THIS_TOPIC Despite recent increases in sales and cash flow that have ongste 58 22 Aug 2017, 08:41
6 Formulas for cash flow and the ratio of debt to equity do carcass 10 28 Aug 2016, 12:05
1 Formulas for cash flow and the ratio of debt to equity do TomB 3 10 Sep 2014, 20:23
Display posts from previous: Sort by

Formulas for cash flow and the ratio of debt to equity do

  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 | 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®.