GMAT Question of the Day - Daily to your Mailbox; hard ones only

It is currently 25 May 2019, 00:48

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

Investing in real estate would be a profitable venture at this time. A

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

Hide Tags

 
Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 55271
Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post Updated on: 02 Apr 2019, 08:23
00:00
A
B
C
D
E

Difficulty:

  45% (medium)

Question Stats:

66% (01:45) correct 34% (01:51) wrong based on 220 sessions

HideShow timer Statistics

Investing in real estate would be a profitable venture at this time. A survey in House magazine revealed that 85% of the magazine's readers are planning to buy a second home over the next few years. A study of the real estate industry, however, revealed that the current supply of homes could only provide for 65% of that demand each year.

Which of the following, if true, reveals a weakness in the evidence cited above?

(A) Real estate is a highly labor-intensive business.

(B) Home builders are not evenly distributed across the country.

(C) The number of people who want second homes has been increasing each year for the past ten years.

(D) Readers of House magazine are more likely than most people to want second homes.

(E) House magazine includes articles about owning a second home as well as articles about building a second home.

_________________

Originally posted by Bunuel on 06 Jul 2018, 05:24.
Last edited by gmat1393 on 02 Apr 2019, 08:23, edited 1 time in total.
Reformatted
VP
VP
User avatar
D
Joined: 09 Mar 2016
Posts: 1283
Re: Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post 06 Jul 2018, 06:53
Bunuel wrote:
Investing in real estate would be a profitable venture at this time. A survey in House magazine revealed that 85% of the magazine’s readers are planning to buy a second home over the next few years. A study of the real estate industry, however, revealed that the current supply of homes could only provide for 65% of that demand each year.

Which of the following, if true, reveals a weakness in the evidence cited above?


(A) Real estate is a highly labor-intensive business.

(B) Home builders are not evenly distributed across the country.

(C) The number of people who want second homes has been increasing each year for the past ten years.

(D) Readers of House magazine are more likely than most people to want second homes.

(E) House magazine includes articles about owning a second home as well as articles about building a second home.




here is my reasoning

clearly A and B strenghthen,

C is irrelevant

between D and E , i will choose D because we dont know how many readers constitute 85%.
Retired Moderator
User avatar
D
Joined: 30 Jan 2015
Posts: 807
Location: India
Concentration: Operations, Marketing
GPA: 3.5
Re: Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post 06 Jul 2018, 10:27
+1 for D.

(D) Readers of House magazine are more likely than most people to want second homes. --> Correct

Reason : The logical flaw in stimulus is that it readily assumes the sample provided is enough to draw the conclusion that the investment is booming. But, option D weakens the argument by stating that 85% (high interest) is only among the magazine readers and not as a whole.

Hence, D.
_________________
The few, the fearless !

Thanks :-)
Board of Directors
User avatar
P
Status: QA & VA Forum Moderator
Joined: 11 Jun 2011
Posts: 4486
Location: India
GPA: 3.5
WE: Business Development (Commercial Banking)
GMAT ToolKit User CAT Tests
Re: Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post 06 Jul 2018, 12:06
1
sudarshan22 wrote:
+1 for D.

(D) Readers of House magazine are more likely than most people to want second homes. --> Correct

Reason : The logical flaw in stimulus is that it readily assumes the sample provided is enough to draw the conclusion that the investment is booming. But, option D weakens the argument by stating that 85% (high interest) is only among the magazine readers and not as a whole.

Hence, D.


With the same opinion,

Quote:
A survey in House magazine revealed that 85% of the magazine’s readers are planning to buy a second home over the next few years.

Say if there are 10000 citizens and only 1000 reads the House magazine then out of those only 850 are planning to buy a second home.

Thus actually it represents only 8.50 % of the citizens..

Hence with (D)
_________________
Thanks and Regards

Abhishek....

PLEASE FOLLOW THE RULES FOR POSTING IN QA AND VA FORUM AND USE SEARCH FUNCTION BEFORE POSTING NEW QUESTIONS

How to use Search Function in GMAT Club | Rules for Posting in QA forum | Writing Mathematical Formulas |Rules for Posting in VA forum | Request Expert's Reply ( VA Forum Only )
Senior Manager
Senior Manager
User avatar
G
Joined: 03 Mar 2017
Posts: 291
Reviews Badge CAT Tests
Re: Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post 09 Jul 2018, 22:31
Abhishek009 wrote:
sudarshan22 wrote:
+1 for D.

(D) Readers of House magazine are more likely than most people to want second homes. --> Correct

Reason : The logical flaw in stimulus is that it readily assumes the sample provided is enough to draw the conclusion that the investment is booming. But, option D weakens the argument by stating that 85% (high interest) is only among the magazine readers and not as a whole.

Hence, D.


With the same opinion,

Quote:
A survey in House magazine revealed that 85% of the magazine’s readers are planning to buy a second home over the next few years.

Say if there are 10000 citizens and only 1000 reads the House magazine then out of those only 850 are planning to buy a second home.

Thus actually it represents only 8.50 % of the citizens..

Hence with (D)



I second your reasoning. Perfectly highlighted.
_________________
--------------------------------------------------------------------------------------------------------------------------
All the Gods, All the Heavens, and All the Hells lie within you.
Intern
Intern
avatar
B
Joined: 07 Feb 2019
Posts: 1
Re: Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post 01 Apr 2019, 04:46
1
Abhishek009 wrote:
sudarshan22 wrote:
+1 for D.

(D) Readers of House magazine are more likely than most people to want second homes. --> Correct

Reason : The logical flaw in stimulus is that it readily assumes the sample provided is enough to draw the conclusion that the investment is booming. But, option D weakens the argument by stating that 85% (high interest) is only among the magazine readers and not as a whole.

Hence, D.


With the same opinion,

Quote:
A survey in House magazine revealed that 85% of the magazine’s readers are planning to buy a second home over the next few years.

Say if there are 10000 citizens and only 1000 reads the House magazine then out of those only 850 are planning to buy a second home.

Thus actually it represents only 8.50 % of the citizens..

Hence with (D)


Ok, but the last sentence is saying that ''the current supply of homes could only provide for 65% of THAT demand (or 65% of 850) each year''. If the study is regarding specifically the demand of House Magazine readers, D wouldn't be right. It was only me who had this interpretation?
Intern
Intern
avatar
B
Joined: 09 Mar 2017
Posts: 4
Location: United States
Concentration: Nonprofit, Entrepreneurship
Re: Investing in real estate would be a profitable venture at this time. A  [#permalink]

Show Tags

New post 05 Apr 2019, 18:24
LZ123 wrote:
Abhishek009 wrote:
sudarshan22 wrote:
+1 for D.

(D) Readers of House magazine are more likely than most people to want second homes. --> Correct

Reason : The logical flaw in stimulus is that it readily assumes the sample provided is enough to draw the conclusion that the investment is booming. But, option D weakens the argument by stating that 85% (high interest) is only among the magazine readers and not as a whole.

Hence, D.


With the same opinion,

Quote:
A survey in House magazine revealed that 85% of the magazine’s readers are planning to buy a second home over the next few years.

Say if there are 10000 citizens and only 1000 reads the House magazine then out of those only 850 are planning to buy a second home.

Thus actually it represents only 8.50 % of the citizens..

Hence with (D)


Ok, but the last sentence is saying that ''the current supply of homes could only provide for 65% of THAT demand (or 65% of 850) each year''. If the study is regarding specifically the demand of House Magazine readers, D wouldn't be right. It was only me who had this interpretation?



I had the same interpretation.
GMAT Club Bot
Re: Investing in real estate would be a profitable venture at this time. A   [#permalink] 05 Apr 2019, 18:24
Display posts from previous: Sort by

Investing in real estate would be a profitable venture at this time. A

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  


Copyright

GMAT Club MBA Forum Home| About| Terms and Conditions and Privacy Policy| 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®.