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# The Nordlingen WE luxury sports car uses a special imported

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Director
Joined: 07 Nov 2004
Posts: 683
The Nordlingen WE luxury sports car uses a special imported [#permalink]

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14 Jan 2005, 19:40
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The Nordlingen WE luxury sports car uses a special imported rosewood in the extensive wood trimming of its interior. Unfortunately, trade sanctions imposed on the nation that is the primary supplier of that type of rosewood has resulted in a considerable increase in the price of the now extremely rare commodity. Purchasers of the new models of the Nordlingen WE can expect to see that increase reflected in an increase in Nordlingen's ticket price.

The conclusion above is based on the assumption that...

A) The price of the Nordlingen WE would not have risen even if the trade sanctions hadn't been imposed on the primary supplier of Nordlingen's rosewood.
B) The price of the rosewood is a major contributing factor to the Nordlingen WE's ticket price.
C) More of the imported rosewood is used for the Nordlingen WE's wood trim than for any other domestic purpose.
D) The imported rosewood will continue to be used for the wood trim in the new models of the Nordlingen WE.
E) There was not some reason for the imposition of the trade sanctions on the primary supplier of the rosewood of sufficient importance to outweigh the concerns of the domestic rosewood consumers.

VP
Joined: 18 Nov 2004
Posts: 1433

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14 Jan 2005, 19:54
"D". For the price to increase, wood has to be used and then its price has to increase. D tells us that author assumed that even in new models this wood be used.
Intern
Joined: 04 Dec 2004
Posts: 34
Location: bangalore

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15 Jan 2005, 04:51
Director
Joined: 07 Nov 2004
Posts: 683

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15 Jan 2005, 08:00
Why not C? OA is D, btw.
Director
Joined: 03 Nov 2004
Posts: 853

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15 Jan 2005, 12:37
The conclusion here is the last statement:
"Purchasers of the new models of the Nordlingen WE can expect to see that increase reflected in an increase in Nordlingen's ticket price".

It cannot be 'C' becos the conclusion is concerned about the increase in price & not about the usage of imported rosewood, so it is 'D'
Manager
Joined: 28 Jul 2004
Posts: 58
Location: Na

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28 Jan 2005, 06:22
Why can't the answer be (b)?Cost of internal trims could be a major contributor towards the vehicle cost right?Any thoughts.Tx.

Anna
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We can crack the exam together

SVP
Joined: 03 Jan 2005
Posts: 2233

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28 Jan 2005, 16:00
(D)

(B) is not right because the author only said that the car price will reflect the increase in rosewood price. It doesn't have to be a major factor, as long as it is in the equation.
CEO
Joined: 17 Jul 2004
Posts: 3281

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28 Jan 2005, 16:05
D makes the most sense- if the wood is elminated from the car, the changes in the price of the wood should not affect the price of the car.

Shouldn't it be trade sanctions . . . have?
SVP
Joined: 03 Jan 2005
Posts: 2233

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28 Jan 2005, 16:27
Good catch.

(This smilie is quite awful. )
28 Jan 2005, 16:27
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