It is currently 19 Nov 2017, 05:45

### 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

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

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# In a leveraged buyout, investors borrow huge sums of money

Author Message
TAGS:

### Hide Tags

Director
Joined: 01 Aug 2008
Posts: 727

Kudos [?]: 866 [0], given: 99

### Show Tags

28 Feb 2009, 10:14
I think this should be C

using the companies' earnings and profiting

companies' is used correct and followed the parallelism (using and profiting) ...

Kudos [?]: 866 [0], given: 99

Intern
Joined: 07 Jan 2009
Posts: 18

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

Location: Boston/Cleveland

### Show Tags

28 Feb 2009, 16:50
E. was my options for reasons posted above

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

SVP
Joined: 17 Jun 2008
Posts: 1534

Kudos [?]: 280 [0], given: 0

### Show Tags

28 Feb 2009, 17:27
Here the parallelism is as "hoping to pay off.....by......and to profit....by...". A is the only choice left.

Hence, I will go with A.

Kudos [?]: 280 [0], given: 0

Intern
Joined: 28 Feb 2009
Posts: 2

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

### Show Tags

28 Feb 2009, 19:12
E

right use of apostrophe and maintains plurality

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

Manager
Joined: 27 Feb 2009
Posts: 58

Kudos [?]: 28 [0], given: 0

### Show Tags

28 Feb 2009, 22:53
hoping is common to both ,
to pay off the debt by using and to profit richly by the later are parallel

Hence A.

Company's is right because investors pay off the debt using one company's earnings (each company's earnings) and resale of all the companies...thats the best explanation i could think for Textnext argument.

Kudos [?]: 28 [0], given: 0

VP
Joined: 18 May 2008
Posts: 1258

Kudos [?]: 541 [0], given: 0

### Show Tags

28 Feb 2009, 23:34
OA is E

Kudos [?]: 541 [0], given: 0

Senior Manager
Joined: 06 Jul 2007
Posts: 275

Kudos [?]: 53 [0], given: 0

### Show Tags

01 Mar 2009, 12:13
ritula wrote:
OA is E

A bit late to the discussion. I thought it should be A. Do you have the OE as well?

Kudos [?]: 53 [0], given: 0

VP
Joined: 18 May 2008
Posts: 1258

Kudos [?]: 541 [0], given: 0

### Show Tags

02 Mar 2009, 06:58
Nope i dnt hv the OE. But Technext explained quite well
sanjay_gmat wrote:
ritula wrote:
OA is E

A bit late to the discussion. I thought it should be A. Do you have the OE as well?

Kudos [?]: 541 [0], given: 0

Manager
Joined: 11 Apr 2009
Posts: 160

Kudos [?]: 120 [0], given: 5

### Show Tags

02 Jun 2009, 10:53
２． In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt by using the company's earnings and to profit richly by the later resale of the companies or their divisions.

A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

Can anyone explain why the answer is not A?

Last edited by broall on 27 May 2017, 03:17, edited 1 time in total.
Merged topic. Please search before posting question.

Kudos [?]: 120 [0], given: 5

Manager
Joined: 01 May 2009
Posts: 106

Kudos [?]: 73 [0], given: 11

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

03 Jun 2009, 00:58
gmatprep09 wrote:
２． In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt by using the company's earnings and to profit richly by the later resale of the companies or their divisions.

A. by using the company's earnings and to profit -Parallelism error - 'to profit' should be parallel to 'hoping' but not to 'to pay off'
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

Can anyone explain why the answer is not A?

I am stuck between option C and D, but C looks better than D.

So C could be the correct answer.

Kudos [?]: 73 [0], given: 11

Manager
Joined: 12 Apr 2006
Posts: 213

Kudos [?]: 30 [0], given: 17

Location: India
Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

03 Jun 2009, 04:52
I will prefer A.

To pay...........and..........to profit.

Kudos [?]: 30 [0], given: 17

Senior Manager
Joined: 15 Jan 2008
Posts: 278

Kudos [?]: 49 [0], given: 3

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

03 Jun 2009, 06:24
I will go with E..

to pay off the debts with companies earnings
to profit by the resale..
whats the oa ?

Kudos [?]: 49 [0], given: 3

Manager
Joined: 16 Apr 2009
Posts: 231

Kudos [?]: 101 [0], given: 10

Schools: Ross
Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

03 Jun 2009, 06:59
A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit -not wordy

I'll go with E because the paralleism is correct and not wordy..
_________________

Keep trying no matter how hard it seems, it will get easier.

Kudos [?]: 101 [0], given: 10

Manager
Joined: 11 Apr 2009
Posts: 160

Kudos [?]: 120 [0], given: 5

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

08 Jun 2009, 18:22
Oa is E.

Kudos [?]: 120 [0], given: 5

Manager
Joined: 11 Aug 2008
Posts: 150

Kudos [?]: 58 [0], given: 8

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

09 Jun 2009, 21:06
gmatprep09 wrote:
２． In a leveraged buyout, investors borrow huge sums of money to buy companies, hoping to pay off the debt by using the company's earnings and to profit richly by the later resale of the companies or their divisions.

A. by using the company's earnings and to profit
B. by using the companies' earnings and by profiting
C. using the companies' earnings and profiting
D. with the company's earnings, profiting
E. with the companies' earnings and to profit

Can anyone explain why the answer is not A?

It's can not A because it's not parallel: by + N ....and by the later resale of...
E is parallel: to pay off ....with the companies' earnings....and to profit ....by the later resale of...

Kudos [?]: 58 [0], given: 8

Senior Manager
Joined: 05 Apr 2007
Posts: 255

Kudos [?]: 94 [0], given: 1

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

14 Jun 2009, 01:46
I will chose E...It maintains parallelism...
_________________

Choose Life

Kudos [?]: 94 [0], given: 1

Manager
Joined: 08 Apr 2009
Posts: 102

Kudos [?]: 2 [0], given: 3

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

14 Jun 2009, 09:47
Good one...
parallel structure...
hoping + (to payoff ......to profit)
IMO E too

Kudos [?]: 2 [0], given: 3

Director
Joined: 25 Oct 2008
Posts: 594

Kudos [?]: 1182 [0], given: 100

Location: Kolkata,India
Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

17 Oct 2009, 20:53
c'mon guys..explanations pleease!
_________________

http://gmatclub.com/forum/countdown-beginshas-ended-85483-40.html#p649902

Kudos [?]: 1182 [0], given: 100

Manager
Joined: 03 Oct 2009
Posts: 92

Kudos [?]: 54 [0], given: 2

Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

### Show Tags

18 Nov 2009, 22:43
It is not clear..will somebody give a meaningful explaination??

Rohit

Kudos [?]: 54 [0], given: 2

Intern
Joined: 28 Oct 2009
Posts: 6

Kudos [?]: 1 [0], given: 4

Location: Bangalore

### Show Tags

01 Dec 2009, 11:42
ok this is the first day i am doing . this but in this case how are we supposed to know the right answers?? how do u guys usually settle this

Kudos [?]: 1 [0], given: 4

Re: SC: investors   [#permalink] 01 Dec 2009, 11:42

Go to page   Previous    1   2   3   4   5    Next  [ 89 posts ]

Display posts from previous: Sort by