GMAT Question of the Day - Daily to your Mailbox; hard ones only

It is currently 16 Jul 2018, 05:55

Close

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
Your Progress

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

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Close

Request Expert Reply

Confirm Cancel

The owner of a retail electronics store has decided to no

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

2 KUDOS received
Intern
Intern
User avatar
Joined: 05 Mar 2015
Posts: 33
Location: United States
Concentration: Marketing, General Management
The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 25 Apr 2015, 09:59
2
4
00:00
A
B
C
D
E

Difficulty:

  45% (medium)

Question Stats:

62% (01:20) correct 38% (03:23) wrong based on 372 sessions

HideShow timer Statistics

The owner of a retail electronics store has decided to no longer open his store on Sundays. For the past 2 years, the store averaged $925 in total revenue on Sundays on which it was open, while the average expense for keeping the store open on a Sunday was $1,100.

Which of the following, if true, would most seriously call into question the store owner's reasoning in deciding to no longer open his store on Sundays?


A. The store's customers frequently order items from the store's website after visiting the store in person.
B. The electronics store generates less profit on Mondays than on Sundays.
C. On five Sundays during the past year, the electronics store generated profits of between $500 and $1,000.
D. Most analysts of retail buying trends believe that the coming year will be a particularly good one for electronics stores that offer online shopping.
E. Sunday has traditionally been a good business day for electronics stores.

_________________

"You have to learn the rules of the game. And then you have to play better than anyone else". Albert Einstein

Intern
Intern
User avatar
Joined: 05 Mar 2015
Posts: 33
Location: United States
Concentration: Marketing, General Management
The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post Updated on: 25 Apr 2015, 10:42
NYCgirl15 wrote:
The owner of a retail electronics store has decided to no longer open his store on Sundays. For the past 2 years, the store averaged $925 in total revenue on Sundays on which it was open, while the average expense for keeping the store open on a Sunday was $1,100.

Which of the following, if true, would most seriously call into question the store owner's reasoning in deciding to no longer open his store on Sundays?


A. The store's customers frequently order items from the store's website after visiting the store in person.
B. The electronics store generates less profit on Mondays than on Sundays.
C. On five Sundays during the past year, the electronics store generated profits of between $500 and $1,000.
D. Most analysts of retail buying trends believe that the coming year will be a particularly good one for electronics stores that offer online shopping.
E. Sunday has traditionally been a good business day for electronics stores.



Conclusion: The store should be closed on Sundays.

Evidence: The store's revenue on Sundays has been less than its expenses for staying open.

The author assumes that the effectiveness of staying open on Sundays can be judged by the amount of business done on that day. But if the store has a lot of online business, it's possible that customers who visit on Sunday make their purchase at a later date. The owner needs to factor this into his reasoning; if he doesn't, his reasoning is weakened.

Choice (B) states evidence that might make the owner consider closing Mondays as well, but does not directly weaken his decision to close Sundays. It may be that the store has had a few profitable Sundays, as choice (C) states, but this doesn't change the fact that, on average, the store has lost money on Sundays. For choice (D), without knowing more about how online shopping applies to this store or its customer base, we can't know how this fact would make a difference in considering the store's business hours. Choice (E) mentions what has been the case in the past for some stores, but doesn't deal directly with the present situation for this store.

Choice (A) is correct.
_________________

"You have to learn the rules of the game. And then you have to play better than anyone else". Albert Einstein


Originally posted by NYCgirl15 on 25 Apr 2015, 10:01.
Last edited by NYCgirl15 on 25 Apr 2015, 10:42, edited 1 time in total.
Retired Moderator
User avatar
Joined: 06 Jul 2014
Posts: 1248
Location: Ukraine
Concentration: Entrepreneurship, Technology
GMAT 1: 660 Q48 V33
GMAT 2: 740 Q50 V40
GMAT ToolKit User Premium Member
Re: The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 25 Apr 2015, 10:06
NYCgirl15 wrote:
The owner of a retail electronics store has decided to no longer open his store on Sundays. For the past 2 years, the store averaged $925 in total revenue on Sundays on which it was open, while the average expense for keeping the store open on a Sunday was $1,100.

Which of the following, if true, would most seriously call into question the store owner's reasoning in deciding to no longer open his store on Sundays?


A. The store's customers frequently order items from the store's website after visiting the store in person.
B. The electronics store generates less profit on Mondays than on Sundays.
C. On five Sundays during the past year, the electronics store generated profits of between $500 and $1,000.
D. Most analysts of retail buying trends believe that the coming year will be a particularly good one for electronics stores that offer online shopping.
E. Sunday has traditionally been a good business day for electronics stores.


A) Customers go in the shop on Sunday and make order on the store's website on Monday. If he close the shop he will lose sales in Monday. Correct
B) That's reason for close store on Monday too, but this not weaken decision about Sunday. Incorrect
C) This is still less than average keeping expense so shop should be closed. Incorrect
D) We don't know if this shop has online shopping. Incorrect
E) Common situation in another shops change nothing for this shop. Incorrect
_________________

Simple way to always control time during the quant part.
How to solve main idea questions without full understanding of RC.
660 (Q48, V33) - unpleasant surprise
740 (Q50, V40, IR3) - anti-debrief ;)

Intern
Intern
avatar
B
Joined: 27 Aug 2014
Posts: 6
Location: Australia
Concentration: Finance, Strategy
GMAT 1: 560 Q44 V23
GPA: 3.2
WE: Engineering (Energy and Utilities)
GMAT ToolKit User Premium Member
Re: The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 30 Apr 2015, 23:24
Im unable to understand why B is wrong in this case. For A, It doesnt say that customers will go on Sunday to the shop and order during the course of the week.

For B, it gives a reason to re think of making Sunday rather than Monday off?

Correct me if im wrong please
Retired Moderator
User avatar
Joined: 06 Jul 2014
Posts: 1248
Location: Ukraine
Concentration: Entrepreneurship, Technology
GMAT 1: 660 Q48 V33
GMAT 2: 740 Q50 V40
GMAT ToolKit User Premium Member
Re: The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 01 May 2015, 00:19
allwynfrancis23 wrote:
Im unable to understand why B is wrong in this case. For A, It doesnt say that customers will go on Sunday to the shop and order during the course of the week.

For B, it gives a reason to re think of making Sunday rather than Monday off?

Correct me if im wrong please


Hello allwynfrancis23

We should find reason why closing shop at Sunday is wrong.

According to B we should close shop at Sunday and at Monday because both this days don't generate profit.
But how this weaken decision about closing shop on Sunday?

This is more like some sort of strengthener but not weakener.
_________________

Simple way to always control time during the quant part.
How to solve main idea questions without full understanding of RC.
660 (Q48, V33) - unpleasant surprise
740 (Q50, V40, IR3) - anti-debrief ;)

Manager
Manager
avatar
B
Joined: 12 Mar 2017
Posts: 89
Concentration: Strategy, General Management
GMAT 1: 630 Q49 V27
The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 02 Mar 2018, 05:10
Harley1980, abhimahna
Regarding option A, if people need to order online, then it is not necessary that they need to visit the store on Sunday. They might as well visit the store on any other day. Didn't quite understand how the statement serves as a weakener
1 KUDOS received
Board of Directors
User avatar
V
Status: Stepping into my 10 years long dream
Joined: 18 Jul 2015
Posts: 3686
Premium Member Reviews Badge CAT Tests
The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 02 Mar 2018, 05:31
1
prateek176 wrote:
Regarding option A, if people need to order online, then it is not necessary that they need to visit the store on Sunday. They might as well visit the store on any other day. Didn't quite understand how the statement serves as a weakener


Hey prateek176 ,

I agree to your point. But you are considering only side of the coin. What if they order everything online on the weekdays and then come there to pick up the things on Sundays? Won't that weaken the argument that Let's close the shop on Sunday.

Hence, I know it is not necessary to visit the store on Sunday but we are also not saying that they won't visit on Sunday.

Does that make sense?
_________________

My GMAT Story: From V21 to V40
My MBA Journey: My 10 years long MBA Dream
My Secret Hacks: Best way to use GMATClub | Importance of an Error Log!
Verbal Resources: All SC Resources at one place | All CR Resources at one place
Blog: Subscribe to Question of the Day Blog

GMAT Club Inbuilt Error Log Functionality - View More.
New Visa Forum - Ask all your Visa Related Questions - here.

New! Best Reply Functionality on GMAT Club!



Find a bug in the new email templates and get rewarded with 2 weeks of GMATClub Tests for free

Manager
Manager
avatar
S
Joined: 04 Apr 2015
Posts: 184
Reviews Badge CAT Tests
Re: The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 03 Mar 2018, 23:52
hello experts
please solve my doubt regarding this question: option A says people generally visit the shop in person and then order online
but this doesn't say they visit more on Sunday . :there is possibility that no one other than the buyers visit on Sundays and people(buyers plus potential buyers) rush more in rest of the days

i feel the argument should have mentioned something like: though on average equal no of people visit every people visit the store on Sunday but a loss is prevailing
Board of Directors
User avatar
V
Status: Stepping into my 10 years long dream
Joined: 18 Jul 2015
Posts: 3686
Premium Member Reviews Badge CAT Tests
Re: The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 04 Mar 2018, 00:56
StrugglingGmat2910 wrote:
hello experts
please solve my doubt regarding this question: option A says people generally visit the shop in person and then order online
but this doesn't say they visit more on Sunday . :there is possibility that no one other than the buyers visit on Sundays and people(buyers plus potential buyers) rush more in rest of the days

i feel the argument should have mentioned something like: though on average equal no of people visit every people visit the store on Sunday but a loss is prevailing


Hey StrugglingGmat2910 ,

I agree to your point. We are no where told this. But understand the fact that we need to weaken the argument, hence I can very well assume that there is a slight(if not a lot) possibility that the visits are happening more on Sundays. If that is the case, I am done with my job. The entire argument is broken apart.

Does that make sense?
_________________

My GMAT Story: From V21 to V40
My MBA Journey: My 10 years long MBA Dream
My Secret Hacks: Best way to use GMATClub | Importance of an Error Log!
Verbal Resources: All SC Resources at one place | All CR Resources at one place
Blog: Subscribe to Question of the Day Blog

GMAT Club Inbuilt Error Log Functionality - View More.
New Visa Forum - Ask all your Visa Related Questions - here.

New! Best Reply Functionality on GMAT Club!



Find a bug in the new email templates and get rewarded with 2 weeks of GMATClub Tests for free

Manager
Manager
avatar
S
Joined: 04 Apr 2015
Posts: 184
Reviews Badge CAT Tests
Re: The owner of a retail electronics store has decided to no [#permalink]

Show Tags

New post 04 Mar 2018, 01:01
abhimahna wrote:
StrugglingGmat2910 wrote:
hello experts
please solve my doubt regarding this question: option A says people generally visit the shop in person and then order online
but this doesn't say they visit more on Sunday . :there is possibility that no one other than the buyers visit on Sundays and people(buyers plus potential buyers) rush more in rest of the days

i feel the argument should have mentioned something like: though on average equal no of people visit every people visit the store on Sunday but a loss is prevailing


Hey StrugglingGmat2910 ,

I agree to your point. We are no where told this. But understand the fact that we need to weaken the argument, hence I can very well assume that there is a slight(if not a lot) possibility that the visits are happening more on Sundays. If that is the case, I am done with my job. The entire argument is broken apart.

Does that make sense?

thanks got your point . i picked it also as it was best among the lot
Re: The owner of a retail electronics store has decided to no   [#permalink] 04 Mar 2018, 01:01
Display posts from previous: Sort by

The owner of a retail electronics store has decided to no

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  

Events & Promotions

PREV
NEXT


GMAT Club MBA Forum Home| About| Terms and Conditions and Privacy Policy| GMAT Club Rules| Contact| Sitemap

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®.