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23 Feb 2009, 13:43
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It would cost Hamilton Inc. two million dollars to stop the leakage of minute amounts of dangerous chemicals into its plant. In the year after completion of those repairs, however, Hamilton Inc. would thereby avoid incurring three million dollars worth of damages, since currently Hamilton Inc. pays that amount annually in compensation for health problems said to be caused by the chemical fumes.
Which of the following, if true, gives the strongest support to the argument above?
(A) Companies similar to Hamilton Inc. also pay compensation for health damages caused by fumes.
(B) After leaky Hamilton Inc. equipment has been repaired, several years will elapse before that the equipment begins to leak again.
(C) Hamilton Inc. would need to raise their prices to consumers if it were to spend two million dollars in one year on repairs.
(D) The number of sick days Hamilton’s employees take can vary widely from year to year.
(E) Factory workers are more likely to be exposed to fumes while in Hamilton’s plant, but administrative staff files almost all of the claims for compensation said to be caused by the fumes.
Please explain
Which of the following, if true, gives the strongest support to the argument above?
(A) Companies similar to Hamilton Inc. also pay compensation for health damages caused by fumes.
(B) After leaky Hamilton Inc. equipment has been repaired, several years will elapse before that the equipment begins to leak again.
(C) Hamilton Inc. would need to raise their prices to consumers if it were to spend two million dollars in one year on repairs.
(D) The number of sick days Hamilton’s employees take can vary widely from year to year.
(E) Factory workers are more likely to be exposed to fumes while in Hamilton’s plant, but administrative staff files almost all of the claims for compensation said to be caused by the fumes.
Please explain
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23 Feb 2009, 16:35
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It would cost Hamilton Inc. two million dollars to stop the leakage of minute amounts of dangerous chemicals into its plant. In the year after completion of those repairs, however, Hamilton Inc. would thereby avoid incurring three million dollars worth of damages, since currently Hamilton Inc. pays that amount annually in compensation for health problems said to be caused by the chemical fumes.
Which of the following, if true, gives the strongest support to the argument above?
(A) Companies similar to Hamilton Inc. also pay compensation for health damages caused by fumes. -- Out of scope. We are only concerned about Hamilton.
(B) After leaky Hamilton Inc. equipment has been repaired, several years will elapse before that the equipment begins to leak again. -- This statement comes close to supporting the argument. If it takes several years before the equipment begins to leak, then Hamilton would be saving the money it pays towards compensation and still does not have to repair the equipment.
(C) Hamilton Inc. would need to raise their prices to consumers if it were to spend two million dollars in one year on repairs. -- Irrelevant. The argument is not about raising prices.
(D) The number of sick days Hamilton’s employees take can vary widely from year to year. -- Irrelevant. This statement does nothing to support the argument.
(E) Factory workers are more likely to be exposed to fumes while in Hamilton’s plant, but administrative staff files almost all of the claims for compensation said to be caused by the fumes. -- It does not matter who files the claims. We don't know to whom is Hamilton paying the compensation. It could be paying to the government.
Any comments guys.
Which of the following, if true, gives the strongest support to the argument above?
(A) Companies similar to Hamilton Inc. also pay compensation for health damages caused by fumes. -- Out of scope. We are only concerned about Hamilton.
(B) After leaky Hamilton Inc. equipment has been repaired, several years will elapse before that the equipment begins to leak again. -- This statement comes close to supporting the argument. If it takes several years before the equipment begins to leak, then Hamilton would be saving the money it pays towards compensation and still does not have to repair the equipment.
(C) Hamilton Inc. would need to raise their prices to consumers if it were to spend two million dollars in one year on repairs. -- Irrelevant. The argument is not about raising prices.
(D) The number of sick days Hamilton’s employees take can vary widely from year to year. -- Irrelevant. This statement does nothing to support the argument.
(E) Factory workers are more likely to be exposed to fumes while in Hamilton’s plant, but administrative staff files almost all of the claims for compensation said to be caused by the fumes. -- It does not matter who files the claims. We don't know to whom is Hamilton paying the compensation. It could be paying to the government.
Any comments guys.
24 Feb 2009, 08:28
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yes i agree with chaven. Since the company pays an annual amount of 3 millions while the repair will cost 2 millions. The company will save in all these years.Ans shld be B
