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Hollywood restaurant is replacing some of its standard tables with tal

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Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post Updated on: 22 Nov 2018, 04:19
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85% (01:06) correct 15% (01:29) wrong based on 2898 sessions

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Hollywood restaurant is replacing some of its standard tables with tall tables and stools. The restaurant already fills every available seat during its operating hours, and the change in seating arrangements will not result in an increase in the restaurant's seating capacity. Nonetheless, the restaurant's management expects revenue to increase as a result of the seating change without any concurrent change in menu, prices, or operating hours.

Which of the following, if true, provides the best reason for the expectation?


(A) One of the taller tables takes up less floor space than one of the standard tables.

(B) Diners seated on stools typically do not linger over dinner as long as diners seated at standard tables.

(C) Since the restaurant will replace only some of its standard tables, it can continue to accommodate customers who do not care for the taller tables.

(D) Few diners are likely to avoid the restaurant because of the new seating arrangement.

(E) The standard tables being replaced by tall tables would otherwise have to be replaced with new standard tables at a greater expense.


ID - CR03367

Originally posted by betterscore on 07 Aug 2012, 13:17.
Last edited by Bunuel on 22 Nov 2018, 04:19, edited 1 time in total.
Renamed the topic and edited the question.
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post 07 Aug 2012, 13:26
1
B.

argument says that changing the seat pattern will increase revenue eventhough the number of seats will not increase.
B states a reason how this will be achieved.
people will take less time to eat their meals. Thus more people will visit the restaurant .Thus revenue will increase.

suppose previously in 1 hr 1 customer ate. now 2 will eat as customer wont linger on the food because of the seating. So more customers will eat in same amount of time.Thus more revenues.



Not a 700 level question.
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post 07 Aug 2012, 13:30
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(A) One of the taller tables takes up less floor space than one of the standard tables.
"....change in seating arrangements will not result in an increase in the restaurant's seating capacity..." Incorrect


(B) Diners seated on stools typically do not linger over dinner as long as diners seated at standard tables.
so , the standard table/new arrangement will attract more diners.

(C) Since the restaurant will replace only some of its standard tables, it can continue to accommodate customers who do not care for the taller tables.
customers who do or do not care for the taller table is not under consideration.

(D) Few diners are likely to avoid the restaurant because of the new seating arrangement.
weakening

(E) The standard tables being replaced by tall tables would otherwise have to be replaced with new standard tables at a greater expense.
expense is not under consideration.
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post 07 Aug 2012, 14:08
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IMO- B.
A) One of the taller tables takes up less floor space than one of the standard tables.
I[color=#662d91]t won't increase the capacity of the res.[/color]
(B) Diners seated on stools typically do not linger over dinner as long as diners seated at standard tables.
There will be more cycles of diners within the same operating hours, increasing the customers and in turn revenue.

(C) Since the restaurant will replace only some of its standard tables, it can continue to accommodate customers who do not care for the taller tables.
not leading to customer increase
(D) Few diners are likely to avoid the restaurant because of the new seating arrangement.
going against the new arrangement
(E) The standard tables being replaced by tall tables would otherwise have to be replaced with new standard tables at a greater expense.
going in different direction.
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post 31 Oct 2012, 22:03
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This looks like a paradox question. For this kind of question you're looking to identify a missing link or info that will correct the gap between the facts and the conclusion.

Facts are:
1) Tall tables and stools are replacing standard tables.
2) No other changes to seats, menus, etc.
Conclusion: All things being equal before and after change produce more profit.

Hm, so since this doesn't flow together you're looking for the answer that solve the question "Hows is this conclusion possible?

In this question, in particular, we're looking for a positive outcome (higher profits), so the answer choise that supports this will be the correct one.

A) Looks irrelevant. Taking less space does nothing to bring more revenue, since there is no other table or stool to occupy the vacant space. (this is just an example and not necessarily the case)
B) This answer choice looks promising. It says that diners take less time to finish their mean and go, which means that those tables are readily available sooner than they previously used to be. Serving more people within less amount of time guarantees profits at a higher rate, which favors the conclusion.
C) Bears no change to the conclusion that profit will be higher. I think it's also out of scope because it only talks about a small group of the customers, those that do not care about the change in the seating accommodations.
D) This weakens the conclusion, which we try to strengthen. Fewer customers means less revenue -> less profit.
E) If not worse, this only says that the change made has no positive or negative impact on the profits generated.

Hence, B.
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post Updated on: 08 May 2013, 18:26
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Hi,

In this question, we need to find the best reason for the expectation.

Expectation: Revenue will increase

Constraints:

No change in menu, prices, or operating hours

No increase in seating capacity

Analysis of Option Statements

(A) One of the taller tables takes up less floor space than one of the standard tables. - Even if taller tables take less space, it is clearly given in the passage the seating capacity will not increase. So, there is advantage of less space occupying tables. Therefore, this does not provide a reason for increased revenues.

(B) Diners seated on stools typically do not linger over dinner as long as diners seated at standard tables. - If this is true, then even with all the constraints, the restaurants will have more customers everyday. So, if previously, diners used to take 30 minutes, diners now take 20 minutes to eat. So, while in previous case, each table served 2 customers every hour, now every table serves 3 customers every hour. So, it provides a reason for increase in revenues. Correct.

(C) Since the restaurant will replace only some of its standard tables, it can continue to accommodate customers who do not care for the taller tables. - Irrelevant

(D) Few diners are likely to avoid the restaurant because of the new seating arrangement. - This provides a reason as to why the revenues should not fall but it does not provide any reason for expectation for increased revenues.

(E) The standard tables being replaced by tall tables would otherwise have to be replaced with new standard tables at a greater expense. - We are concerned with revenues, not costs. Irrelevant.

Hope this helps.

Thanks,
Chiranjeev
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Originally posted by egmat on 08 May 2013, 08:56.
Last edited by egmat on 08 May 2013, 18:26, edited 1 time in total.
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post 08 May 2013, 11:00
Indeed A seems like a tempting choice until you reread the question and it specifically indicates that the number of seats will remain unchanged. In essence, no more patrons will enter the establishment, but there will be more available floorspace for... say going to the bathroom or whatever. Since there is no increase in the number of customers at any given time, the only way to increase revenue is to increase turnover. The same table will be occupied only for an hour instead of two hours. That will increase revenue even if there are never more than 100 customers in the restaurant at any given time.

B is thus the perfect answer.

Hope this helps!
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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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New post 28 Jan 2015, 23:26
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Hi All,

In a CR, the conclusion gives you an end result that all of the other ideas must lead to. Here, we're told that replacing some standard tables with tall tables and stools will lead to an INCREASE IN EXPECTED REVENUE without anything else changing (every available seat is still filled, the menu/prices/hours will stay the same). We need an answer that would help to explain WHY the revenue would increase.

The correct answer offers a reason why more customers would be expected at the restaurant (remember that every seat gets filled with a customer).

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Re: Hollywood restaurant is replacing some of its standard tables with tal  [#permalink]

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Re: Hollywood restaurant is replacing some of its standard tables with tal &nbs [#permalink] 22 Nov 2018, 04:18
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