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Overview of Source Types
MSR sources fall into six broad categories. You will see 2–4 of these combined in a single prompt. Knowing what to expect from each type lets you extract information 2–3x faster.

If You See...Immediately Think...What Matters Most
EmailWho is speaking?Position/agenda
MemoRecommendation?Constraints/objective
ResearchWhat did they conclude?Limitations
TableWhat are the units?Correct comparison
SurveyWho was asked?Sample quality
Press ReleaseWhat are they trying to sell?Evidence vs marketing
PolicyWhat are the rules?Exceptions
ForecastWhat assumptions exist?Current fact vs prediction
Financial DataProfit or revenue?Trend
StudyCorrelation or causation?Experimental support

Detailed in below post
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Source TypePassage StructurePurposeMental TagFirst ScanKey SentenceExtract FirstIgnoreCross-TabRed FlagsConceptsTrapSpeed
Email/MemoConcern→Recommend→JustifyOpinionPERSONAuthor + GoalRecommendationStanceGreetingsData/Tablerecommend, shouldStakeholdersOpinion=FactStore stance
Press ReleaseAchievement→Claim→NumbersClaimCLAIMClaim + DataOpening claimClaim + EvidenceMarketingReport/Tableannounced, growthEvidenceBelieve claimSeparate claim/evidence
Research ReportMethod→Result→ConclusionEvidenceSTUDYConclusionConclusionFinding + LimitationMethodsSurvey/Datafound, howeverCausationIgnore caveatsRead end first
Data TableRows + ColumnsEvidenceDATAHeaders + UnitsHeadersUnits + MetricFormattingAll tabs%, $, totalRatios, TrendsWrong unitStructure first
ArticleTrend/PhenomenonBackgroundBACKGROUNDTopicConclusionTopic + FindingStoriesData Tabletrend, increaseTrendsDetail overloadFind conclusion
PolicyRules + ExceptionsConstraintsCONSTRAINTIF/THENExceptionRulesHistoryRecommendationmust, unlessLogicMiss conditionChecklist
Survey% + DemographicsEvidenceSURVEYPopulationPopulationSample + %NarrativeResearchsurveyed, sampleSamplingBiasCheck sample
Analyst ReportCurrent→ForecastPredictionFORECASTPresent/FutureForecastAssumptionsStorytellingFinancialsforecast, likelyForecastingFuture=FactSplit present/future
Financial StatementRevenue/Cost/ProfitPerformanceFINANCIALMetricTrendDefinitionsAccounting detailRecommendationrevenue, marginFinanceRevenue≠ProfitTrack metric
Market ResearchDemand→GrowthOpportunityTRENDDirectionOutlookTrendAnecdotesForecastdemand, shareSupply/DemandTrend=FutureFollow trend
Executive RecommendationGoal→Constraint→ActionDecisionDECISIONGoalsRecommendationConstraintsBackgroundFinancialsobjective, strategyDecision makingMiss objectiveBuild checklist
Scientific StudyHypothesis→Test→ResultCausationCAUSALResultConclusionResultExperiment detailData Tableexperiment, controlScientific methodCorrelation=CauseCheck causation
Government ReportProgram→OutcomeEvaluationPOLICYGoal vs ResultOutcomeGoal + ResultPoliticsStatisticspolicy, initiativePolicy evaluationOutcome proves causeCompare goal/result
Customer FeedbackComplaints→RatingsSentimentCUSTOMERMain issueSummaryPatternAnecdotesMarket Researchcomplaint, satisfactionAggregatesOne anecdoteFind pattern
Industry ComparisonCompany A vs BComparisonCOMPARISONMetricRankingBasisOther metricsRecommendationranking, shareRelative vs AbsoluteWrong comparisonStandardize
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==================================================
FINANCIAL STATEMENT
==================================================

WHAT IT IS

A business performance document.

Usually measures:

Revenue
Cost
Profit
Margin
Debt
Cash Flow

--------------------------------------------------

HOW IT LOOKS IN MSR

Year Revenue Profit Margin
2021 100M 15M 15%
2022 120M 12M 10%
2023 140M 10M 7%

or

Division Revenue Cost Profit

A 20M 10M 10M

B 50M 45M 5M

C 30M 15M 15M

--------------------------------------------------

WHAT THE PASSAGE USUALLY SAYS

Management is evaluating performance.

The company experienced revenue growth over the last three years.

However profit margins declined.

The decline appears to be associated with rising production costs.

Management is considering several strategies to improve profitability.

Notice:

Revenue
Profit
Costs
Recommendation

These are the recurring ideas.

--------------------------------------------------

WHAT GMAT IS TESTING

Can you distinguish:

Revenue

from

Profit

Growth

from

Profitability

Absolute numbers

from

Percentages

--------------------------------------------------

CONCEPT KNOWLEDGE

Revenue

Money collected.

Profit

Revenue minus costs.

Margin

Profit divided by revenue.

Cash Flow

Actual money entering and leaving.

Debt

Borrowed money.

--------------------------------------------------

COMMON TRAPS

Revenue increased.

Student chooses:

Company improved.

Wrong.

Profit may have fallen.

--------------------------------------------------

705+ VERSION

Revenue rises.

Profit falls.

Market share rises.

Margins fall.

Question:

Which recommendation best aligns with management's objective?

Need multiple metrics.

Not one.

==================================================
SURVEY RESULTS
==================================================

WHAT IT IS

Opinions collected from a sample.

--------------------------------------------------

HOW IT LOOKS IN MSR

72% satisfied

18% neutral

10% dissatisfied

or

Age Group Satisfaction

18-25 80%

26-40 65%

41-60 55%

--------------------------------------------------

WHAT THE PASSAGE USUALLY SAYS

Researchers surveyed 1,200 consumers.

Respondents were asked about purchasing habits.

Most participants reported satisfaction.

Younger consumers showed stronger preferences than older consumers.

--------------------------------------------------

WHAT GMAT IS TESTING

Can conclusions be trusted?

Can findings be generalized?

--------------------------------------------------

CONCEPT KNOWLEDGE

Population

Entire group.

Sample

Surveyed group.

Representative Sample

Looks like population.

Sampling Bias

Sample not representative.

Self-Selection Bias

Participants volunteer.

--------------------------------------------------

COMMON TRAPS

Survey says:

80% approval.

Student concludes:

80% of all consumers approve.

Wrong.

Only sample was measured.

--------------------------------------------------

705+ VERSION

Survey says:

People want Product A.

Actual sales data says:

People buy Product B.

Need reconcile.

==================================================
SCIENTIFIC STUDY
==================================================

WHAT IT IS

Experiment testing relationship.

--------------------------------------------------

HOW IT LOOKS IN MSR

Group A received treatment.

Group B received placebo.

After 12 weeks:

Group A improved 20%.

Group B improved 3%.

--------------------------------------------------

WHAT THE PASSAGE USUALLY SAYS

Researchers hypothesized that a new treatment would improve outcomes.

Participants were assigned to treatment and control groups.

Results indicated improvement among treated subjects.

Researchers concluded treatment may be effective.

--------------------------------------------------

WHAT GMAT IS TESTING

Causation.

Not correlation.

--------------------------------------------------

CONCEPT KNOWLEDGE

Hypothesis

Prediction.

Control Group

No treatment.

Treatment Group

Receives treatment.

Correlation

Move together.

Causation

One causes another.

--------------------------------------------------

COMMON TRAPS

Sales increased.

Advertising increased.

Student concludes:

Advertising caused sales increase.

Wrong.

Could be other factors.

--------------------------------------------------

705+ VERSION

Study shows effect.

Limitation weakens conclusion.

Need integrate both.
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==================================================
SOURCE TYPE: EMAIL / MEMO
==================================================

WHAT IT IS

An internal communication between employees, managers, executives, departments, consultants, analysts, or stakeholders.

Purpose is usually not to provide raw facts.

Purpose is usually to:
Express opinion
Make recommendation
Raise concern
Request action
Explain decision
Respond to issue

Mental Tag:

PERSON + POSITION

Always remember:

An email is usually an OPINION source.

Not an EVIDENCE source.

--------------------------------------------------
WHY GMAT USES EMAILS
--------------------------------------------------

To introduce:

Stakeholder goals
Recommendations
Concerns
Conflicts
Assumptions
Business priorities

GMAT often uses email tabs because they create:

Opinion

which must later be tested against:

Data
Research
Financials
Survey results

--------------------------------------------------
HOW EMAILS ARE TYPICALLY DRAFTED
--------------------------------------------------

Pattern 1

Problem
Reason
Recommendation

Example:

Sales declined.
Customer engagement fell.
We should increase advertising.

Most common pattern.

--------------------------------------------------

Pattern 2

Observation
Concern
Recommendation

Example:

Competitors are expanding.
We risk losing market share.
We should enter new markets.

--------------------------------------------------

Pattern 3

Goal
Constraint
Recommendation

Example:

We want growth.
Budget is limited.
We should expand digitally.

Very common in recommendation questions.

--------------------------------------------------

Pattern 4

Recommendation
Supporting Reasons

Example:

I recommend Product B.

Reason 1

Reason 2

Reason 3

--------------------------------------------------
WHAT THE PASSAGE USUALLY LOOKS LIKE
--------------------------------------------------

Example 1

To:
Marketing Director

Our recent customer surveys indicate lower engagement among younger consumers. Because digital campaigns have performed well in comparable markets, I recommend increasing online advertising expenditures during the next quarter.

--------------------------------------------------

Example 2

To:
Chief Executive Officer

The western division generated lower profits than expected this year. Although revenue increased, production costs rose significantly. I recommend delaying expansion until costs stabilize.

--------------------------------------------------

Example 3

To:
Operations Manager

Demand has increased by nearly 20 percent over the past year. Existing facilities may soon reach capacity. We should consider investing in additional production equipment.

--------------------------------------------------
WHAT INFORMATION APPEARS IN EMAILS
--------------------------------------------------

Recommendations

Opinions

Concerns

Goals

Constraints

Forecasts

Assumptions

Internal politics

Business priorities

Tradeoffs

Strategic preferences

--------------------------------------------------
WHAT INFORMATION RARELY APPEARS
--------------------------------------------------

Hard evidence

Detailed statistics

Complete financial analysis

Research methodology

Experimental results

Those usually appear elsewhere.

--------------------------------------------------
FIRST 5-SECOND SCAN
--------------------------------------------------

Question 1

Who wrote this?

CEO?

CFO?

Marketing?

Analyst?

Consultant?

Operations?

Question 2

What does this person want?

Question 3

Why do they want it?

Question 4

What assumptions are they making?

Question 5

Which other tab will verify this?

--------------------------------------------------
MOST IMPORTANT SENTENCE
--------------------------------------------------

Usually one of:

I recommend...

We should...

My concern is...

I propose...

Management should...

I believe...

The recommendation sentence is often the most important sentence in the entire tab.

--------------------------------------------------
WHAT TO EXTRACT FIRST
--------------------------------------------------

Speaker

Position

Goal

Recommendation

Reason

Nothing else initially.

--------------------------------------------------
WHAT TO IGNORE
--------------------------------------------------

Greetings

Thank you statements

Politeness

Formal opening

Formal closing

Background history

Most examples

Most descriptive details

--------------------------------------------------
COMMON QUESTION TYPES
--------------------------------------------------

Recommendation

Inference

Verification

Integration

Constraint Matching

Prediction

Stakeholder Analysis

--------------------------------------------------
HIDDEN CR CONCEPTS
--------------------------------------------------

Assumptions

Recommendations

Cause and Effect

Tradeoffs

Necessary Conditions

Decision Making

Stakeholder Incentives

--------------------------------------------------
CROSS-TAB RELATIONSHIPS
--------------------------------------------------

Email + Data Table

Email recommends.
Table verifies.

--------------------------------------------------

Email + Financial Statement

Email claims.
Financials verify.

--------------------------------------------------

Email + Survey

Email recommendation based on survey.

Need evaluate whether survey supports recommendation.

--------------------------------------------------

Email + Research Report

Email conclusion.

Research evidence.

Need connect.

--------------------------------------------------

Email + Market Research

Recommendation based on market opportunity.

--------------------------------------------------
RED FLAG WORDS
--------------------------------------------------

recommend

propose

suggest

should

must

believe

concern

risk

opportunity

forecast

expect

predict

prefer

support

oppose

--------------------------------------------------
CONCEPT KNOWLEDGE
--------------------------------------------------

STAKEHOLDER INCENTIVES

CEO

Usually wants:

Growth
Market share
Long-term success

--------------------------------------------------

CFO

Usually wants:

Profitability
Cost control
Financial stability
Risk reduction

--------------------------------------------------

Marketing Director

Usually wants:

Customer acquisition
Brand awareness
Sales growth

--------------------------------------------------

Operations Manager

Usually wants:

Efficiency
Capacity
Productivity
Lower costs

--------------------------------------------------

HR Director

Usually wants:

Retention
Hiring
Employee satisfaction

--------------------------------------------------

Investor

Usually wants:

Return
Profit
Growth

--------------------------------------------------

Government Official

Usually wants:

Compliance
Public benefit
Policy goals

--------------------------------------------------
THE BIGGEST TRAP
--------------------------------------------------

Student reads:

"I recommend expanding internationally."

Student thinks:

Expansion is correct.

Wrong.

Email only provides opinion.

Need evidence.

Always ask:

What evidence supports this recommendation?

--------------------------------------------------
SECOND BIGGEST TRAP
--------------------------------------------------

Confusing recommendation with fact.

Fact:

Revenue increased 10%.

Recommendation:

We should expand.

Only one of these is proven.

--------------------------------------------------
THIRD BIGGEST TRAP
--------------------------------------------------

Ignoring speaker incentives.

A marketing executive and CFO may see the same data differently.

Why?

Different objectives.

--------------------------------------------------
HOW 705+ QUESTIONS USE EMAILS
--------------------------------------------------

Version 1

Multiple stakeholders disagree.

Need identify whose recommendation is best supported.

--------------------------------------------------

Version 2

Email recommends action.

Financial data contradicts recommendation.

Need identify conflict.

--------------------------------------------------

Version 3

Recommendation satisfies some constraints.

Violates others.

Need multi-constraint evaluation.

--------------------------------------------------

Version 4

Two emails.

Two executives.

Opposite conclusions.

Need determine whose reasoning is stronger.

--------------------------------------------------
99TH PERCENTILE RULE
--------------------------------------------------

Never read an email asking:

What does every sentence mean?

Read asking:

Who is speaking?
What do they want?
Why do they want it?
What evidence would prove them right?
Which tab contains that evidence?

If you can answer those five questions, you have extracted almost everything GMAT usually wants from an Email/Memo source.
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