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Updated on: 27 Jun 2019, 09:49
Originally posted by GMATBusters on 12 Jun 2018, 08:01.
Last edited by gmat1393 on 27 Jun 2019, 09:49, edited 1 time in total.
Last edited by gmat1393 on 27 Jun 2019, 09:49, edited 1 time in total.
Reformatted
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A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
65%
(hard)
Question Stats:
52% (01:40) correct
48%
(01:35)
wrong
based on 838
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The stock price of Foxel, a baby formula manufacturer, is expected to rise significantly, mainly due to the company's presence in developing countries, in which the birth rate is quite high and the average consumption of baby formula is rising.
Which of the following, if true, would most strengthen the argument that Foxel’s stock price is expected to rise?
A) Investors thoroughly examine companies’ costs and revenues and invest in companies whose markets are expected to grow.
B) In many developing countries, the higher the birth rate, the lower the sales of baby formula products.
C) The average consumption of baby formula is expected to grow at a much higher rate in developing countries.
D) Foxel intends to launch a massive advertising campaign encouraging the use of birth control in developing countries.
E) In many developing countries, the use of baby formula is regarded as virtually impossible due to lack of adequate sanitary conditions.
Which of the following, if true, would most strengthen the argument that Foxel’s stock price is expected to rise?
A) Investors thoroughly examine companies’ costs and revenues and invest in companies whose markets are expected to grow.
B) In many developing countries, the higher the birth rate, the lower the sales of baby formula products.
C) The average consumption of baby formula is expected to grow at a much higher rate in developing countries.
D) Foxel intends to launch a massive advertising campaign encouraging the use of birth control in developing countries.
E) In many developing countries, the use of baby formula is regarded as virtually impossible due to lack of adequate sanitary conditions.
12 Jun 2018, 09:22
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gmatbusters
Between A and C,
C is true even if average consumption of baby formula doesnt rise in developing countries. Its already mentioned in the argument that birth rate is quite high and the average consumption of baby formula is rising in developing countries.
A is the straight winner.
Rest all are weakeners.
+++++++++++++Please hit +1 Kudos if that helped=======================
General Discussion
SajjitaKundu
GMAT 1: 690 Q50 V31
Posts: 109
12 Jun 2018, 09:56
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Answer should be A, only this option connects price of stock with sales correctly.
