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# OG - Since it has become known that several

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Intern
Joined: 29 Apr 2017
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Re: OG - Since it has become known that several [#permalink]

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20 Jun 2017, 02:12
VeritasPrepKarishma wrote:
betterscore wrote:
Since it has become known that several of a bank's top executives have been buying shares in their own bank, the bank's depositors, who had been worried by rumors that the bank faced impending financial collapse, have been greatly relieved. They reason that, since top executives evidently have faith in the bank's financial soundness, those worrisome rumors must be false. Such reasoning might well be overoptimistic, however, since corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors about the company's health.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first describes evidence that has been taken as supporting a conclusion; the second gives a reason for questioning that support.
(B) The first describes evidence that has been taken as supporting a conclusion; the second states a contrary conclusion that is the main conclusion of the argument.
(C) The first provides evidence in support of the main conclusion of the argument; the second states that conclusion.
(D) The first describes the circumstance that the argument as a whole seeks to explain; the second gives the explanation that the argument seeks to establish.
(E) The first describes the circumstance that the argument as a whole seeks to explain; the second provides evidence in support of the explanation that the argument seeks to establish.

Responding to a pm:

Conclusion of the argument: Such reasoning might well be overoptimistic

First statement: several of a bank's top executives have been buying shares in their own bank, - evidence supporting 'depositors have been greatly relieved'

Second statement: corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors - evidence supporting 'reasoning is overoptimistic'. This sentence questions the evidence of the first sentence. So, executives are buying shares in their own bank - well, they have been known to do that. It is a calculated step.

So the first bold sentence gives support to the conclusion that investors are relieved. But the second bold sentence questions this support and hence gives support to 'they probably shouldn't be relieved'.

As for (D), I don't think it makes much sense to me at all.

Let's look at it in detail:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

the second gives the explanation that the argument seeks to establish. - the explanation that the argument would establish would be the conclusion endorsed by the argument. The second statement is a premise, not a conclusion endorsed by the argument.

Hello. Thankyou for the explanation.

Can you help me understand why "E" is wrong. The BF1 describes the situation that bank executives have been buying shares. The whole argument is revolved around this situation, evaluating whether this is right or wrong. BF2- It states that this statement is the premise supporting the conclusion that "reasoning might be overoptimistic".

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Re: OG - Since it has become known that several [#permalink]

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20 Jun 2017, 23:43
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bhavikagoyal2009 wrote:

Actually I had fallen into that trap, too. But after reading carefully, I realized that the purpose of the argument is not to explain why executive banks have been buying shares; Instead, it focuses on whether we should be worried about financial issue of the bank.

Let's see, why do the bank depositors cite their observation about buying action of bank executives? Bank depositors just cite that fact, assume that the reason for the action is that "top executives evidently have faith in the bank's financial soundness", then take it as supporter for the conclusion that [yea, the bank is still fine, we shouldn't be worried.]

Then you see the author doesn't agree with the reason (for executives' buying behavior) claimed by bank depositors, right? But is discussing about the cause the main point here? No! The author undermines the depositors' explanation simply in order to express the conclusion: [Hey you are overoptimistic, we still need to care about bank's financial health.] Just image the author may say that: [Your assumption about why executives buy shares is wrong! executives' buying action is actually not a positive sign at all, but rather a negative sign. The motivation behind this action should be that executives are just trying to avoid rumor regarding company health. Therefore, yes there is a real issue to worry about!]

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Re: OG - Since it has become known that several [#permalink]

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21 Jun 2017, 00:55
Lucy Phuong wrote:
bhavikagoyal2009 wrote:

Actually I had fallen into that trap, too. But after reading carefully, I realized that the purpose of the argument is not to explain why executive banks have been buying shares; Instead, it focuses on whether we should be worried about financial issue of the bank.

Let's see, why do the bank depositors cite their observation about buying action of bank executives? Bank depositors just cite that fact, assume that the reason for the action is that "top executives evidently have faith in the bank's financial soundness", then take it as supporter for the conclusion that [yea, the bank is still fine, we shouldn't be worried.]

Then you see the author doesn't agree with the reason (for executives' buying behavior) claimed by bank depositors, right? But is discussing about the cause the main point here? No! The author undermines the depositors' explanation simply in order to express the conclusion: [Hey you are overoptimistic, we still need to care about bank's financial health.] Just image the author may say that: [Your assumption about why executives buy shares is wrong! executives' buying action is actually not a positive sign at all, but rather a negative sign. The motivation behind this action should be that executives are just trying to avoid rumor regarding company health. Therefore, yes there is a real issue to worry about!]

Thankyou Lucy! This makes it very clear. Appreciate your help.

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Re: OG - Since it has become known that several [#permalink]

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21 Jun 2017, 02:39
bhavikagoyal2009 wrote:
VeritasPrepKarishma wrote:
betterscore wrote:
Since it has become known that several of a bank's top executives have been buying shares in their own bank, the bank's depositors, who had been worried by rumors that the bank faced impending financial collapse, have been greatly relieved. They reason that, since top executives evidently have faith in the bank's financial soundness, those worrisome rumors must be false. Such reasoning might well be overoptimistic, however, since corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors about the company's health.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first describes evidence that has been taken as supporting a conclusion; the second gives a reason for questioning that support.
(B) The first describes evidence that has been taken as supporting a conclusion; the second states a contrary conclusion that is the main conclusion of the argument.
(C) The first provides evidence in support of the main conclusion of the argument; the second states that conclusion.
(D) The first describes the circumstance that the argument as a whole seeks to explain; the second gives the explanation that the argument seeks to establish.
(E) The first describes the circumstance that the argument as a whole seeks to explain; the second provides evidence in support of the explanation that the argument seeks to establish.

Responding to a pm:

Conclusion of the argument: Such reasoning might well be overoptimistic

First statement: several of a bank's top executives have been buying shares in their own bank, - evidence supporting 'depositors have been greatly relieved'

Second statement: corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors - evidence supporting 'reasoning is overoptimistic'. This sentence questions the evidence of the first sentence. So, executives are buying shares in their own bank - well, they have been known to do that. It is a calculated step.

So the first bold sentence gives support to the conclusion that investors are relieved. But the second bold sentence questions this support and hence gives support to 'they probably shouldn't be relieved'.

As for (D), I don't think it makes much sense to me at all.

Let's look at it in detail:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

the second gives the explanation that the argument seeks to establish. - the explanation that the argument would establish would be the conclusion endorsed by the argument. The second statement is a premise, not a conclusion endorsed by the argument.

Hello. Thankyou for the explanation.

Can you help me understand why "E" is wrong. The BF1 describes the situation that bank executives have been buying shares. The whole argument is revolved around this situation, evaluating whether this is right or wrong. BF2- It states that this statement is the premise supporting the conclusion that "reasoning might be overoptimistic".

(E) is not correct.
The aim of the argument is not to explain this - "several of a bank's top executives have been buying shares in their own bank". The argument doesn't revolve around evaluating this. The objective of the argument is to establish that the depositors of the bank should not be relieved.
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Kudos [?]: 17358 [0], given: 232

Manager
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Re: OG - Since it has become known that several [#permalink]

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21 Jun 2017, 03:24
bhavikagoyal2009 wrote:
Lucy Phuong wrote:
bhavikagoyal2009 wrote:

Actually I had fallen into that trap, too. But after reading carefully, I realized that the purpose of the argument is not to explain why executive banks have been buying shares; Instead, it focuses on whether we should be worried about financial issue of the bank.

Let's see, why do the bank depositors cite their observation about buying action of bank executives? Bank depositors just cite that fact, assume that the reason for the action is that "top executives evidently have faith in the bank's financial soundness", then take it as supporter for the conclusion that [yea, the bank is still fine, we shouldn't be worried.]

Then you see the author doesn't agree with the reason (for executives' buying behavior) claimed by bank depositors, right? But is discussing about the cause the main point here? No! The author undermines the depositors' explanation simply in order to express the conclusion: [Hey you are overoptimistic, we still need to care about bank's financial health.] Just image the author may say that: [Your assumption about why executives buy shares is wrong! executives' buying action is actually not a positive sign at all, but rather a negative sign. The motivation behind this action should be that executives are just trying to avoid rumor regarding company health. Therefore, yes there is a real issue to worry about!]

Thankyou Lucy! This makes it very clear. Appreciate your help.

________
Lucy P

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Re: OG - Since it has become known that several [#permalink]

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05 Aug 2017, 06:38
VeritasPrepKarishma wrote:
betterscore wrote:
Since it has become known that several of a bank's top executives have been buying shares in their own bank, the bank's depositors, who had been worried by rumors that the bank faced impending financial collapse, have been greatly relieved. They reason that, since top executives evidently have faith in the bank's financial soundness, those worrisome rumors must be false. Such reasoning might well be overoptimistic, however, since corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors about the company's health.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first describes evidence that has been taken as supporting a conclusion; the second gives a reason for questioning that support.
(B) The first describes evidence that has been taken as supporting a conclusion; the second states a contrary conclusion that is the main conclusion of the argument.
(C) The first provides evidence in support of the main conclusion of the argument; the second states that conclusion.
(D) The first describes the circumstance that the argument as a whole seeks to explain; the second gives the explanation that the argument seeks to establish.
(E) The first describes the circumstance that the argument as a whole seeks to explain; the second provides evidence in support of the explanation that the argument seeks to establish.

Responding to a pm:

Conclusion of the argument: Such reasoning might well be overoptimistic

First statement: several of a bank's top executives have been buying shares in their own bank, - evidence supporting 'depositors have been greatly relieved'

Second statement: corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors - evidence supporting 'reasoning is overoptimistic'. This sentence questions the evidence of the first sentence. So, executives are buying shares in their own bank - well, they have been known to do that. It is a calculated step.

So the first bold sentence gives support to the conclusion that investors are relieved. But the second bold sentence questions this support and hence gives support to 'they probably shouldn't be relieved'.

As for (D), I don't think it makes much sense to me at all.

Let's look at it in detail:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

the second gives the explanation that the argument seeks to establish. - the explanation that the argument would establish would be the conclusion endorsed by the argument. The second statement is a premise, not a conclusion endorsed by the argument.

Hi
Sorry to raise this question again.
I agree with you about the main conclusion, which is that the depositors' refief is overoptimistic.
But i don't think the first boldface is support this conclusion. I think bank's executives buying shares is a fact, making depositors refieve.
Please correct me if I'm wrong. I think the conclusion in the choices should be the main conclusion.

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Re: OG - Since it has become known that several [#permalink]

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12 Aug 2017, 06:05
VeritasPrepKarishma wrote:
betterscore wrote:
Since it has become known that several of a bank's top executives have been buying shares in their own bank, the bank's depositors, who had been worried by rumors that the bank faced impending financial collapse, have been greatly relieved. They reason that, since top executives evidently have faith in the bank's financial soundness, those worrisome rumors must be false. Such reasoning might well be overoptimistic, however, since corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors about the company's health.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first describes evidence that has been taken as supporting a conclusion; the second gives a reason for questioning that support.
(B) The first describes evidence that has been taken as supporting a conclusion; the second states a contrary conclusion that is the main conclusion of the argument.
(C) The first provides evidence in support of the main conclusion of the argument; the second states that conclusion.
(D) The first describes the circumstance that the argument as a whole seeks to explain; the second gives the explanation that the argument seeks to establish.
(E) The first describes the circumstance that the argument as a whole seeks to explain; the second provides evidence in support of the explanation that the argument seeks to establish.

Responding to a pm:

Conclusion of the argument: Such reasoning might well be overoptimistic

First statement: several of a bank's top executives have been buying shares in their own bank, - evidence supporting 'depositors have been greatly relieved'

Second statement: corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors - evidence supporting 'reasoning is overoptimistic'. This sentence questions the evidence of the first sentence. So, executives are buying shares in their own bank - well, they have been known to do that. It is a calculated step.

So the first bold sentence gives support to the conclusion that investors are relieved. But the second bold sentence questions this support and hence gives support to 'they probably shouldn't be relieved'.

As for (D), I don't think it makes much sense to me at all.

Let's look at it in detail:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

the second gives the explanation that the argument seeks to establish. - the explanation that the argument would establish would be the conclusion endorsed by the argument. The second statement is a premise, not a conclusion endorsed by the argument.

Hi VeritasPrepKarishma

To me, choice D does not make any sense because of the second Bold face; But choice E does. However, I also had an intuition that choice A can be correct, but I prefer choice E

I did not grasp the below explanation of the first boldface you provided, probably, because of lack of understanding of how circumstances is used in Boldface

First Boldface Explanation:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

My reasoning(I know it is incorrect)

The first describes the circumstance that the argument as a whole seeks to explain--
yes it does-- it gives a false implication to bank's depositor to be relieved
further author explains why top executive does what is mentioned in first boldface part.

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OG - Since it has become known that several [#permalink]

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27 Aug 2017, 00:19

first of all let us analyse the boldfaces..and start eliminating answer choices
author doesnt agree with the reasoning provided, therefore he wrote those worrisome rumors must be false.
and so wrt author those rumors are true and he is against the above statement.
therefore we can say the second boldface is contradicting what 1st bold face is supporting or we can say it questions the support.
now 2nd bold face is not the conclusion therefore answer choices B and C are gone.
We're left with A D and E
now from 1st and 2nd boldface it is also clear that 2nd boldface is written contradictory to 1st bold face, therefore options E and D which shows both Boldface supporting are wrong
Ans is A
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Re: OG - Since it has become known that several [#permalink]

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07 Sep 2017, 00:51
AR15J wrote:
VeritasPrepKarishma wrote:
betterscore wrote:
Since it has become known that several of a bank's top executives have been buying shares in their own bank, the bank's depositors, who had been worried by rumors that the bank faced impending financial collapse, have been greatly relieved. They reason that, since top executives evidently have faith in the bank's financial soundness, those worrisome rumors must be false. Such reasoning might well be overoptimistic, however, since corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors about the company's health.

In the argument given, the two boldfaced portions play which of the following roles?

(A) The first describes evidence that has been taken as supporting a conclusion; the second gives a reason for questioning that support.
(B) The first describes evidence that has been taken as supporting a conclusion; the second states a contrary conclusion that is the main conclusion of the argument.
(C) The first provides evidence in support of the main conclusion of the argument; the second states that conclusion.
(D) The first describes the circumstance that the argument as a whole seeks to explain; the second gives the explanation that the argument seeks to establish.
(E) The first describes the circumstance that the argument as a whole seeks to explain; the second provides evidence in support of the explanation that the argument seeks to establish.

Responding to a pm:

Conclusion of the argument: Such reasoning might well be overoptimistic

First statement: several of a bank's top executives have been buying shares in their own bank, - evidence supporting 'depositors have been greatly relieved'

Second statement: corporate executives have been known to buy shares in their own company in a calculated attempt to dispel negative rumors - evidence supporting 'reasoning is overoptimistic'. This sentence questions the evidence of the first sentence. So, executives are buying shares in their own bank - well, they have been known to do that. It is a calculated step.

So the first bold sentence gives support to the conclusion that investors are relieved. But the second bold sentence questions this support and hence gives support to 'they probably shouldn't be relieved'.

As for (D), I don't think it makes much sense to me at all.

Let's look at it in detail:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

the second gives the explanation that the argument seeks to establish. - the explanation that the argument would establish would be the conclusion endorsed by the argument. The second statement is a premise, not a conclusion endorsed by the argument.

Hi VeritasPrepKarishma

To me, choice D does not make any sense because of the second Bold face; But choice E does. However, I also had an intuition that choice A can be correct, but I prefer choice E

I did not grasp the below explanation of the first boldface you provided, probably, because of lack of understanding of how circumstances is used in Boldface

First Boldface Explanation:

The first describes the circumstance that the argument as a whole seeks to explain - the entire argument is explaining a circumstance. The first bold statement itself is not doing it. It only explains why people are relieved - the conclusion which the argument questions.

My reasoning(I know it is incorrect)

The first describes the circumstance that the argument as a whole seeks to explain--
yes it does-- it gives a false implication to bank's depositor to be relieved
further author explains why top executive does what is mentioned in first boldface part.

A circumstance/position that an argument seeks to explain will be something like the conclusion of the argument. The purpose of the argument will be to explain it. If it is an explain the paradox question, it will be the paradox.
First bold statement is a premise. A fact used in the argument.
What is the main purpose of the argument? To say that such reasoning may be overoptimistic. Hence (D) and (E) both are incorrect.

(A) is correct as explained above.
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Re: OG - Since it has become known that several   [#permalink] 07 Sep 2017, 00:51

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