HOT Competition 31 Aug/8PM: Since 2010 when the collateralised loan ob

Question

Since 2010 when the collateralised loan obligations market  became double to $600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C,  the lowest tier.

A. became double to $600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C,

B. have become double to $ 600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C ,

C. became double to $ 600 billion, the default rates had increased to 22% with as much as half the loan pools slipping to triple-C ,

D. doubled to $ 600 billion, the default rates have increased to 22% with as much as half the loan pools slipping to triple-C

E. doubled to $600 billion, the default rates had increased to 22% with as many as half the loan pools slipping to triple –C,

Bunuel · Accepted Answer

GMATWhiz Explanation

Step 1: Understanding Intended Meaning

Since 2010 
 • The “since” marks the beginning of a past event. So in 2010 something began and we its effect is still continuing. We have to look out for that.

when the collateralised loan obligations market  became double to $ 600 billion,  
 • We have a clause starting with “ when …….$600 million”. It modifies the year 2010. In that year something happened – the collateralised loan obligations market….  ”became double to” is idiomatically incorrect. 
• Correct version: the market doubled to $600 million.
• So, in 2010, the…market doubled to an amount.

the default rates increased to 22%  
 • Since then (when the market doubled in 2010)…the default rates increased.
•  The use of simple past “increased” is incorrect  as the effect of what started in 2010 is still continuing at present (indicated by “since”). From that time to this time, the default rates have increased
• Correct version: use present perfect “have increased”

with as much as half the loan pools slipping to triple-C , the lowest tier
 • The prepositional phrase “with……” is modifying the action “have increased”

Intended meaning:
 • So, in 2010 the collateralised loan obligations market doubled to $ 600 billion.
• Since then, the default rates have increased to 22% with as much as half the loan pools slipping to triple-C , the lowest tier

Step 2: Eliminate choices with identified errors

Checking for five aspects
 1. Golden rules
2. Meaning
3. Lists
 a. No error 
4. Tenses
 a. The use of simple past “increased” is incorrect  
5. Idioms
 a. ….”became double to” is idiomatically incorrect

Eliminate 
The following choice/s have one or more of the errors present in Choice A.
Choices B and C

Step 3: Evaluate meaning of remaining choices 
To be done for Option D and E . Detailed out below each choice.

Choice A Analysis 
Incorrect and Eliminated in Step 2

Choice B Analysis 
Incorrect and Eliminated in Step 2.

Choice C Analysis 
Incorrect and Eliminated in Step 2

Choice D Analysis 
Fitting in the original sentence
Since 2010 when the collateralised loan obligations market   doubled  to $ 600 billion, the default rates  have increased  to 22% with as much as half the loan pools slipping to triple-C,  the lowest tier
  Logical
 Clear, 
 Same as the intended meaning 
 Correct Choice.

Choice E Analysis 
Fitting in the original sentence:
Since 2010 when the collateralised loan obligations market  doubled to $600 billion, the default rates  had increased  to 22% with as  many  as half the loan pools slipping to triple –C,  the lowest tier.
 • The use of the past perfect “had increased” is incorrect since the effect is still present.
• The “half the loan pools” is indicating a percentage. So the use of “many” is incorrect. It’s like saying “as many as 50% of the loan pools”.  
Incorrect Choice

mSKR · Answer

Since 2010 when the collateralised loan obligations market became double to $600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C, the lowest tier.

A. became double to $600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C,
Since : use present tense is needed

B. have become double to $ 600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C ,
Increased – wrong usage of past tense

C. became double to $ 600 billion, the default rates had increased to 22% with as much as half the loan pools slipping to triple-C ,
Had wrong usage

D. doubled to $ 600 billion, the default rates have increased to 22% with as much as half the loan pools slipping to triple-C
Effect of increase til now- correct(only 1 option with present perfect tense)

E. doubled to $600 billion, the default rates had increased to 22% with as many as half the loan pools slipping to triple –C,
Had wrong usage before 2010.

JonShukhrat · Answer

A.  Since 2010 when the collateralised loan obligations market became  double to  $600 billion, the default rates  increased  to 22% with as much as half the loan pools slipping to triple-C,

1. “became double to” is unidiomatic because now “to” is a part of the verb “became”, not “double”.
2. “the default rates increased” is less preferable to “have increased”. The present perfect tense make more sense because of “since 2010” and because nothing suggests that the sentence was written from the past point.

B.  Since 2010 when the collateralised loan obligations market  have become double to  $ 600 billion, the default rates  increased  to 22% with as much as half the loan pools slipping to triple-C,

1. “have become” – the present perfect tense makes no sense because doubling took place in 2010. The simple past is needed.
2. “become double to” is unidiomatic because now “to” is a part of the verb “became”, not “double”.
3. 2. “the default rates increased” is less preferable to “have increased”. The present perfect tense make more sense because of “since 2010” and because nothing suggests that the sentence was written from the past point.

C.  Since 2010 when the collateralised loan obligations market became  double to  $ 600 billion, the default rates  had increased  to 22% with as much as half the loan pools slipping to triple-C,

1. “became double to” is unidiomatic because now “to” is a part of the verb “became”, not “double”.
2. “had increased” – the usage of the past perfect is ungrounded. Nothing in the sentence hints that a certain action transpired before another or some time point.

D.  Since 2010 when the collateralised loan obligations market doubled to $ 600 billion, the default rates have increased to 22% with as much as half the loan pools slipping to triple-C,

Bingo, the correct answer. Correct usage of tenses and the verb “double to”.

E.  doubled to $600 billion, the default rates  had increased  to 22% with  as many as  half the loan pools slipping to triple –C,

1. “had increased” – the usage of the past perfect is ungrounded. Nothing in the sentence hints that a certain action transpired before another or some time point. 
2. “as many as half the loan pools” is incorrect because the authors doesn’t talk about the types or numbers of loan pools, but about the amount of loan pools.

Hence   D

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MayankSingh · Answer

IMO D

Uses of Tense:    Here in this question, it's very easy to find the answer if we strike out additional information & look to remaining sentence to make sense in term of tense.  Sequence of events : Market doubled -> default increase till now.
 Since = A point of time in past to till date. Perfect tense is preferred with "Since" 
 Redundancy : Became double- "Double" itself means became two times, so use of became is redundant.

Since 2010  when the collateralised loan obligations market became double to $600 billion , the default rates increased to 22% with as much as half the loan pools slipping to triple-C, the lowest tier.

A.    became double  to $600 billion , the default rates  increased  to 22% with as much as half the loan pools slipping to triple-C , -   Incorrect   - 
 The sentence implies that " In 2010 two things happened- market doubled & rates increased, but what after since 2010 isn't clear with current sentence structure". 
Sequencing of events is wrong (here both at same time). Use of past tense with "Since" is incorrect here.In a definite time frame simple past is used. eg- the rates increased in 1950. 
Also "doubled" means the same as "became doubled" so no need to use the extra word.

B.   have  become double  to $ 600 billion , the default rates  increased  to 22% with as much as half the loan pools slipping to triple-C  ,-   Incorrect   - 
 Use of past tense with "Since" is incorrect here  .In a definite time frame simple past is used. eg- the rates increased in 1950. 
"A Pool of People, money,things is "Countable" so "as many as" is required.
Also "doubled" means the same as "became doubled" so no need to use the extra word

C.    became double  to $ 600 billion , the default rates  had increased  to 22% with as much as half the loan pools slipping to triple-C  ,-   Incorrect   - 
 Past perfect tense is used to sequencing of actions. Here the only other action is " marked doubled", but going by the sentence chronology - first, default rates increases, then market doubled" which isn't the intended meaning of original post. 
Also "doubled" means the same as "became doubled" so no need to use the extra word

D.   doubled to $ 600 billion , the default rates   have increased   to 22% with as much as half the loan pools slipping to triple-C -    Correct   -  This option takes into account correct sequence of events, first market doubled , and then on default rates have increased.

E.   doubled to $600 billion,  the default rates  had increased  to 22% with   as many as half the loan pools slipping to triple –C ,   Incorrect   - 
 Sequencing of tense is not correct here. As per this sentence, Default rates increased, then market doubled, which is opposite of what the sentence conveys.

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MrBaby · Answer

Since 2010  when  the collateralised loan obligations market  became double to $600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C,  the lowest tier.

1) 'became double' VS 'have become double' VS 'doubled'
2) 'increased' VS 'had increased' VS 'have increased'
Which tenses are appropriate here? Let's analyse...

A.  became double  to $600 billion, the default rates  increased  to 22% with as much as half the loan pools slipping to triple-C,   --> 'something doubled' is more concise than 'something became double', and 'Since 2010' is the tense indicator for perfect tense, but this choice doesn't have any perfect tense. OUT.

B.  have become  double to $ 600 billion, the default rates increased to 22% with as much as half the loan pools slipping to triple-C ,   --> 'When' always uses with past simple tense, so using 'When+present perfect tense' is wrong. OUT.

C.  became double  to $ 600 billion, the default rates  had increased  to 22% with as much as half the loan pools slipping to triple-C,   --> This choice has illogical meaning by using 'past tense, past perfect tense' because the collateralised loan obligations market doubled first, and then the default rates increased.

D. doubled to $ 600 billion, the default rates have increased to 22% with as much as half the loan pools slipping to triple-C
Effect of increase til now- correct(only 1 option with present perfect tense)

E.  doubled  to $600 billion, the default rates  had increased  to 22% with as many as half the loan pools slipping to triple –C,   --> Incorrect by using 'past tense, past perfect tense'. Same as C.

Posted from my mobile device

BenjaminS · Answer

Let me explain.

# 1. Verb Tense 
- There is "since" in the sentence, showing that "present perfect or past perfect" should be used.
 # 2. The meaning 
- The event "the collateralised loan obligations market became double to $600 billion" should occur before the default rates increased to 22% with as much as half the loan pools slipping to triple-C"

The process of elimination. 
 
- Verb tense error as # 1. There is no using perfect tense here.
- The meaning is incorrect as # 2. Two events occur at the same time.
 Out.

- The meaning error (#2). This choice means that the first event occurs before the latter event. 
 Out.

- The meaning error (#2). This choice means that the first event occurs before the second event. 
 Out.

- This choice is matched with #1 and #2.
 Keep it.

- Same as C.
 Out.

So I choose D

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HOT Competition 31 Aug/8PM: Since 2010 when the collateralised loan ob

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