It is currently 18 Oct 2017, 02:30

### 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

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

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# Q14: Studies in restaurants show that the tips left by

Author Message
SVP
Joined: 28 May 2005
Posts: 1700

Kudos [?]: 472 [3], given: 0

Location: Dhaka
Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

14 Oct 2005, 13:25
3
KUDOS
4
This post was
BOOKMARKED
00:00

Difficulty:

(N/A)

Question Stats:

77% (01:28) correct 23% (01:32) wrong based on 218 sessions

### HideShow timer Statistics

Q14:
Studies in restaurants show that the tips left by customers who pay their bill in cash tend to be larger when the bill is presented on a tray that bears a credit-card logo. Consumer psychologists hypothesize that simply seeing a credit-card logo makes many credit-card holders willing to spend more because it reminds them that their spending power exceeds the cash they have immediately available.
Which of the following, if true, most strongly supports the psychologistsâ€™ interpretation of the studies?
A. The effect noted in the studies is not limited to patrons who have credit cards.
B. Patrons who are under financial pressure from their credit-card obligations tend to tip less when presented with a restaurant bill on a tray with credit-card logo than when the tray has no logo.
C. In virtually all of the cases in the studies, the patrons who paid bills in cash did not possess credit cards.
D. In general, restaurant patrons who pay their bills in cash leave larger tips than do those who pay by credit card.
E. The percentage of restaurant bills paid with given brand of credit card increases when that credit cardâ€™s logo is displayed on the tray with which the bill is prepared.
_________________

hey ya......

Kudos [?]: 472 [3], given: 0

Director
Joined: 21 Aug 2005
Posts: 786

Kudos [?]: 28 [0], given: 0

### Show Tags

14 Oct 2005, 18:49
I think it is E. Because it supports the argument by implying that people are affected by what they see. They are influenced by the visual.

Kudos [?]: 28 [0], given: 0

SVP
Joined: 28 May 2005
Posts: 1700

Kudos [?]: 472 [0], given: 0

Location: Dhaka

### Show Tags

18 Oct 2005, 12:48
OA is B.
I have and explanation... but let's hear from some more people, then I will talk about it...
_________________

hey ya......

Kudos [?]: 472 [0], given: 0

SVP
Joined: 16 Oct 2003
Posts: 1798

Kudos [?]: 170 [0], given: 0

### Show Tags

18 Oct 2005, 13:14
I got B. The credit card reminds them of the purchasing power but it also reminds them of the obligations.

Kudos [?]: 170 [0], given: 0

Manager
Joined: 10 Sep 2005
Posts: 162

Kudos [?]: 43 [0], given: 0

### Show Tags

18 Oct 2005, 14:07
its B...as its all about the spending powers. The more the pressure the less the tip...

Kudos [?]: 43 [0], given: 0

Current Student
Joined: 29 Jan 2005
Posts: 5206

Kudos [?]: 434 [0], given: 0

### Show Tags

19 Oct 2005, 09:17
I think B is a "180." It contradicts the consumer psychologists hypothesis that simply seeing a credit-card logo makes many credit-card holders willing to spend more because it reminds them that their spending power exceeds the cash they have immediately available.

Kudos [?]: 434 [0], given: 0

SVP
Joined: 03 Jan 2005
Posts: 2231

Kudos [?]: 376 [0], given: 0

Re: CR # restaurants tips. [#permalink]

### Show Tags

19 Oct 2005, 12:59
nakib77 wrote:
B. Patrons who are under financial pressure from their credit-card obligations tend to tip less when presented with a restaurant bill on a tray with credit-card logo than when the tray has no logo.

It does support the psychologist explanation. Most people were reminded by the credit card logo that they can spend more and thus leave a larger tip. But the folks that have large debts would be reminded of their debts and thus they would actually try to spend less and thus leave a smaller tip.
_________________

Keep on asking, and it will be given you;
keep on seeking, and you will find;
keep on knocking, and it will be opened to you.

Kudos [?]: 376 [0], given: 0

VP
Joined: 09 Jun 2010
Posts: 1403

Kudos [?]: 158 [0], given: 916

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

02 Oct 2012, 20:52
this is a hard question. we wish the experts to discuss here. pls, details the process of doing this quesiton so that we can learn/imitate the process.
_________________

visit my facebook to help me.
on facebook, my name is: thang thang thang

Kudos [?]: 158 [0], given: 916

Manager
Joined: 26 Jan 2012
Posts: 74

Kudos [?]: 24 [1], given: 14

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

31 Oct 2012, 07:27
1
KUDOS
A. The effect noted in the studies is not limited to patrons who have credit cards. This means even people who dont have credit cards are tipping more. This weakens the arguement
B. Patrons who are under financial pressure from their credit-card obligations tend to tip less when presented with a restaurant bill on a tray with credit-card logo than when the tray has no logo. Contendor - showing corelation between credit card and payment of tip!
C. In virtually all of the cases in the studies, the patrons who paid bills in cash did not possess credit cards. Weakens the arguement. Patrons dont need credit cards to tip more.
D. In general, restaurant patrons who pay their bills in cash leave larger tips than do those who pay by credit card. No information on tip payment in cash by credit card holders. No effect on arguement
E. The percentage of restaurant bills paid with given brand of credit card increases when that credit cardâ€™s logo is displayed on the tray with which the bill is prepared. No information on tip payment in cash by credit card holders. No effect on arguement

Arguement: Credit card impacts the way patrons tip in cash.
Contendor - It clearly shows a corelation between having a credit card and making a tip in cash. This strengthens the arguement.

Hope my humble attempt at explaining helps!

Kudos [?]: 24 [1], given: 14

Intern
Joined: 08 Oct 2012
Posts: 30

Kudos [?]: 11 [0], given: 24

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

31 Oct 2012, 08:20
ketanth wrote:
A. The effect noted in the studies is not limited to patrons who have credit cards. This means even people who dont have credit cards are tipping more. This weakens the arguement
B. Patrons who are under financial pressure from their credit-card obligations tend to tip less when presented with a restaurant bill on a tray with credit-card logo than when the tray has no logo. Contendor - showing corelation between credit card and payment of tip!
C. In virtually all of the cases in the studies, the patrons who paid bills in cash did not possess credit cards. Weakens the arguement. Patrons dont need credit cards to tip more.
D. In general, restaurant patrons who pay their bills in cash leave larger tips than do those who pay by credit card. No information on tip payment in cash by credit card holders. No effect on arguement
E. The percentage of restaurant bills paid with given brand of credit card increases when that credit cardâ€™s logo is displayed on the tray with which the bill is prepared. No information on tip payment in cash by credit card holders. No effect on arguement

Arguement: Credit card impacts the way patrons tip in cash.
Contendor - It clearly shows a corelation between having a credit card and making a tip in cash. This strengthens the argument.

Hope my humble attempt at explaining helps!

I still don't get it. Even if the correlation is there, it is a reversed one and it doesn't seem to strengthen the argument.

Argument:- Customers, who are credit card holders, pay with cash and tend to tip larger because of the logo on the tray.
Therefore, logo tray = more tip.
Contender(B):- logo tray = less tip ...no logo tray = more tip.

Kudos [?]: 11 [0], given: 24

Senior Manager
Joined: 06 Aug 2011
Posts: 390

Kudos [?]: 233 [0], given: 82

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

31 Oct 2012, 09:08
B or E..

B still not satifying me..!!

ppl who r not financial
nakib77 wrote:
Q14:

Studies in restaurants show that the tips left by customers who pay their bill in cash tend to be larger when the bill is presented on a tray that bears a credit-card logo. Consumer psychologists hypothesize that simply seeing a credit-card logo makes many credit-card holders willing to spend more because it reminds them that their spending power exceeds the cash they have immediately available.

Which of the following, if true, most strongly supports the psychologistsâ€™ interpretation of the studies?

A. The effect noted in the studies is not limited to patrons who have credit cards.

B. Patrons who are under financial pressure from their credit-card obligations tend to tip less when presented with a restaurant bill on a tray with credit-card logo than when the tray has no logo.

C. In virtually all of the cases in the studies, the patrons who paid bills in cash did not possess credit cards.

D. In general, restaurant patrons who pay their bills in cash leave larger tips than do those who pay by credit card.

E. The percentage of restaurant bills paid with given brand of credit card increases when that credit cardâ€™s logo is displayed on the tray with which the bill is prepared.

who r under financial pressure will pay tip less?? seems like its irrevalent..

E luks gud to me
_________________

Bole So Nehal.. Sat Siri Akal.. Waheguru ji help me to get 700+ score !

Kudos [?]: 233 [0], given: 82

Senior Manager
Joined: 26 Jul 2010
Posts: 349

Kudos [?]: 61 [0], given: 41

Location: European union
Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

31 Oct 2012, 15:33
It is B, because B is exactly the same as the conclusion but turned around.

Kudos [?]: 61 [0], given: 41

Senior Manager
Joined: 06 Aug 2011
Posts: 390

Kudos [?]: 233 [0], given: 82

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

01 Nov 2012, 00:22
Thanks karishma..explained it clrealy..

that means..we assume that author is talking abt the ppl who are gud in financial condition will tip more when they c credit card logo..

Option B..strenthen by saying..that when ppl are in poor financial condition they see the logo and they tip less ..thus strenthen ..

rite?
_________________

Bole So Nehal.. Sat Siri Akal.. Waheguru ji help me to get 700+ score !

Kudos [?]: 233 [0], given: 82

Manager
Joined: 22 Oct 2012
Posts: 124

Kudos [?]: 3 [0], given: 30

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

01 Nov 2012, 14:34
Thanks for the detailed explanation Karishma.

This problem really made me want to put my head through a wall.
_________________

Give Kudos if my post was helpful!

Kudos [?]: 3 [0], given: 30

VP
Joined: 09 Jun 2010
Posts: 1403

Kudos [?]: 158 [0], given: 916

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

27 Nov 2012, 03:32
I think this is causal passage.
prethink an assumption before going to answer choices: no other causes

going to answer choices: choice B said that if there is no cause, there will be no effect. This is strengthener.

is this right?
_________________

visit my facebook to help me.
on facebook, my name is: thang thang thang

Kudos [?]: 158 [0], given: 916

GMAT Club Legend
Joined: 01 Oct 2013
Posts: 10117

Kudos [?]: 261 [0], given: 0

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

21 Apr 2014, 04:54
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.

Kudos [?]: 261 [0], given: 0

GMAT Club Legend
Joined: 01 Oct 2013
Posts: 10117

Kudos [?]: 261 [0], given: 0

Re: Q14: Studies in restaurants show that the tips left by [#permalink]

### Show Tags

05 Jun 2015, 14:40
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.

Kudos [?]: 261 [0], given: 0

Re: Q14: Studies in restaurants show that the tips left by   [#permalink] 05 Jun 2015, 14:40
Display posts from previous: Sort by

# Q14: Studies in restaurants show that the tips left by

 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®.