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In a leveraged buyout, investors borrow huge sums of money

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

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New post 24 Nov 2005, 19:55
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A
B
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D
E

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Question Stats:

42% (01:54) correct 58% (01:02) wrong based on 1101 sessions

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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
[Reveal] Spoiler: OA

Last edited by Vyshak on 19 Apr 2016, 11:41, edited 2 times in total.
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Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

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New post 24 Nov 2005, 21:55
joemama142000 wrote:
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


A uses correct parallelism " hope to pay....to profit"
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Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

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New post 25 Nov 2005, 07:38
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HIMALAYA wrote:
joemama142000 wrote:
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


Agree with llism. but go with E.


agree...its E)...possessive form of "companies" is "companies`"
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Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

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New post 25 Nov 2005, 08:13
sure i can see it now :P
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Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

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New post 25 Nov 2005, 12:18
Clear E.

Because companies' is correctly used here and parallelism ( of the verbs to buy.. and to profit )
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Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

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joemama142000 wrote:
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


the OA is E

this is a case of parallelism
hoping to pay.... and to profit
B, C, D are out

by using is wordier than with so E is preffered
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In a leveraged buyout, investors borrow huge sums of money [#permalink]

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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
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Re: SC: investers [#permalink]

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New post 28 Feb 2009, 07:29
ritula wrote:
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


hoping to pay off... and <hoping> to profit

between A and E.

A is better.

"by using " .. better than "with "
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Re: SC: investers [#permalink]

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ritula wrote:
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


Hi mates,

IMO E

To maintain //ism, the last part of the answer should be "to profit", therefore just A and E left

"hoping to pay [...] and to profit [...]

Now, between A and E, E seems to be simpler than A, so, E

OA and Source?

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Re: SC: investers [#permalink]

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New post 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) ...
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Re: SC: investers [#permalink]

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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.

Explanation:
-----------------------
A. by using the company's earnings and to profit ---> Incorrect use of apostrophe in the word company's.
B. by using the companies' earnings and by profiting ---> Incorrect. Not parallel in structure.
C. using the companies' earnings and profiting ---> Incorrect. Not parallel in structure.
D. with the company's earnings, profiting ---> Incorrect use of apostrophe in the word company's.
E. with the companies' earnings and to profit ---> Correct. It uses the apostrophe in the correct place to indicate that companies are involved and NOT just a company. It is also parallel in structure (...to pay off the debt... ...to profit richly...)

JohnLewis1980 has given the correct explanation for the second part.
-----------------------

Clearly option E.

Hope that helps.


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Re: SC: investers [#permalink]

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New post 28 Feb 2009, 16:50
E. was my options for reasons posted above
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Re: SC: investers [#permalink]

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New post 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.
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Re: SC: investers [#permalink]

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New post 28 Feb 2009, 19:12
E

right use of apostrophe and maintains plurality
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Re: SC: investers [#permalink]

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New post 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.

OA please
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Re: SC: investers [#permalink]

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New post 28 Feb 2009, 23:34
OA is E
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New post 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?
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New post 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?
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In a leveraged buyout, investors borrow huge sums of money [#permalink]

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New post 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 nguyendinhtuong on 27 May 2017, 03:17, edited 1 time in total.
Merged topic. Please search before posting question.
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Re: In a leveraged buyout, investors borrow huge sums of money [#permalink]

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New post 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.

OA please?
Re: In a leveraged buyout, investors borrow huge sums of money   [#permalink] 03 Jun 2009, 00:58

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