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Updated on: 02 Jun 2026, 11:44
Originally posted by Gmat860sanskar on 02 Jun 2026, 11:35.
Last edited by Gmat860sanskar on 02 Jun 2026, 11:44, edited 1 time in total.
Last edited by Gmat860sanskar on 02 Jun 2026, 11:44, edited 1 time in total.
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Generalization: The more viewers a television show attracts, the greater the advertising revenue it generates.
Situation: Production costs for Starlight, the VNT network’s most popular weekly show, are very high and rising. The advertising revenue Starlight generates minus the show’s production costs is below average for VNT shows and is declining.
Judgment: VNT’s profits would be better protected by retaining Starlight than by replacing it with a show of average popularity and average production costs.
Which of the following, if true, provides the strongest reason for considering the judgment to be well founded?
A. The average profits of VNT shows have increased in each of the last three years.
B. Shows that occupy time slots immediately before and after a very popular show tend to have far more viewers than they otherwise would.
C. Starlight currently has the highest production costs of all VNT shows.
D. Last year VNT lost money on a weekly show that was substantially similar to Starlight but was broadcast on a different day of the week than Starlight is.
E. Starlight’s high production costs are a direct result of its format and content and cannot be reduced without fundamentally changing the show.
Situation: Production costs for Starlight, the VNT network’s most popular weekly show, are very high and rising. The advertising revenue Starlight generates minus the show’s production costs is below average for VNT shows and is declining.
Judgment: VNT’s profits would be better protected by retaining Starlight than by replacing it with a show of average popularity and average production costs.
Which of the following, if true, provides the strongest reason for considering the judgment to be well founded?
A. The average profits of VNT shows have increased in each of the last three years.
B. Shows that occupy time slots immediately before and after a very popular show tend to have far more viewers than they otherwise would.
C. Starlight currently has the highest production costs of all VNT shows.
D. Last year VNT lost money on a weekly show that was substantially similar to Starlight but was broadcast on a different day of the week than Starlight is.
E. Starlight’s high production costs are a direct result of its format and content and cannot be reduced without fundamentally changing the show.
02 Jun 2026, 11:39
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Official Explanation : -
Argument Construction
Situation
The argument presents a Generalization that more viewers equals greater revenue, and the Situation of a specific show, Starlight: it’s the network’s most popular show, but its net profitability (revenue minus costs) is below average and declining due to high and rising production costs.
Reasoning
What additional factor would support the idea that Starlight contributes more to profits than its net profitability would suggest? The Judgment, or conclusion, is that VNT’s profits would be better protected by retaining Starlight than by replacing it with an average show. This judgment seems counterintuitive, as Starlight’s profitability is low and falling. To provide the strongest reason that the judgment is well-founded, we need to find a factor that demonstrates Starlight contributes significantly to VNT’s overall profits in a way that is not captured by looking solely at Starlight’s individual net income. In other words, we need to show that Starlight generates a positive externality (a benefit to other shows) that would be lost if the show were replaced by an average performer.
A. General network data is irrelevant to the specific comparison between keeping Starlight and replacing it with an average show.
B. Correct. This provides the necessary positive externality. If Starlight (VNT’s most popular show) significantly boosts the viewership of the shows surrounding it, then replacing Starlight with an average show would cause a sharp drop in viewership—and thus in advertising revenue—for two or more adjacent shows. This potential massive loss in revenue across the entire prime-time lineup makes the retention of the less profitable Starlight a much better strategy for protecting overall VNT profits.
C. This fact merely reinforces the problem stated in the Situation section, explaining why the show’s profitability is low. It does not provide a reason why retaining the show is the better financial decision.
D. This fact merely suggests that a show similar to Starlight failed in a different time slot, which might discourage replacement with a similar show but does not explain the unique, positive value of retaining the current Starlight in its current time slot.
E. This fact reinforces the idea that the show’s low profitability is permanent, which makes the decision to retain it less logical. It doesn’t offer a hidden benefit that justifies retention.
Argument Construction
Situation
The argument presents a Generalization that more viewers equals greater revenue, and the Situation of a specific show, Starlight: it’s the network’s most popular show, but its net profitability (revenue minus costs) is below average and declining due to high and rising production costs.
Reasoning
What additional factor would support the idea that Starlight contributes more to profits than its net profitability would suggest? The Judgment, or conclusion, is that VNT’s profits would be better protected by retaining Starlight than by replacing it with an average show. This judgment seems counterintuitive, as Starlight’s profitability is low and falling. To provide the strongest reason that the judgment is well-founded, we need to find a factor that demonstrates Starlight contributes significantly to VNT’s overall profits in a way that is not captured by looking solely at Starlight’s individual net income. In other words, we need to show that Starlight generates a positive externality (a benefit to other shows) that would be lost if the show were replaced by an average performer.
A. General network data is irrelevant to the specific comparison between keeping Starlight and replacing it with an average show.
B. Correct. This provides the necessary positive externality. If Starlight (VNT’s most popular show) significantly boosts the viewership of the shows surrounding it, then replacing Starlight with an average show would cause a sharp drop in viewership—and thus in advertising revenue—for two or more adjacent shows. This potential massive loss in revenue across the entire prime-time lineup makes the retention of the less profitable Starlight a much better strategy for protecting overall VNT profits.
C. This fact merely reinforces the problem stated in the Situation section, explaining why the show’s profitability is low. It does not provide a reason why retaining the show is the better financial decision.
D. This fact merely suggests that a show similar to Starlight failed in a different time slot, which might discourage replacement with a similar show but does not explain the unique, positive value of retaining the current Starlight in its current time slot.
E. This fact reinforces the idea that the show’s low profitability is permanent, which makes the decision to retain it less logical. It doesn’t offer a hidden benefit that justifies retention.
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