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The gaming market recently went through a huge transformation; therefore, Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy. However, Jinx‖s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is also attainable.

If the statements above are true, which one of the following must also be true?
(A) It is only Jinxs production structure that makes it possible for Jinx to survive the transformation of the market.
(B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
(C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.
(D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.
(E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt




can someone please explain why ans is E

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The gaming market recently went through a huge transformation; therefore, Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy. However, Jinx‖s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is also attainable.

If the statements above are true, which one of the following must also be true?
    (A) It is only Jinxs production structure that makes it possible for Jinx to survive the transformation of the market.
    (B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
    (C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.
    (D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.
    (E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt

This is a classic Conditionality CR question.

Q -> Necessary condition -> Jinx must increase productivity by 10%
P -> Sufficient condition/the event -> Avoid bankruptcy

P is true only if Q is true.
P is not true unless Q is true

Option B confuses a sufficient condition with the necessary condition. For not going into bankruptcy sufficient condition is the increase in productivity.

No avoiding of bankruptcy if no increase in productivity. i.e. If a 20% is not attainable same as 10% not attainable (If 10 then 20; if not 20 then not 10) Jinx will go bankrupt.

Answer - E
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there's no satisfactory explanation for B to be incorrect
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shameekv1989
BenCrackVerbal
The gaming market recently went through a huge transformation; therefore, Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy. However, Jinx‖s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is also attainable.

If the statements above are true, which one of the following must also be true?
    (A) It is only Jinxs production structure that makes it possible for Jinx to survive the transformation of the market.
    (B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
    (C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.
    (D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.
    (E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt

This is a classic Conditionality CR question.

Q -> Necessary condition -> Jinx must increase productivity by 10%
P -> Sufficient condition/the event -> Avoid bankruptcy

P is true only if Q is true.
P is not true unless Q is true

Option B confuses a sufficient condition with the necessary condition. For not going into bankruptcy sufficient condition is the increase in productivity.

No avoiding of bankruptcy if no increase in productivity. i.e. If a 20% is not attainable same as 10% not attainable (If 10 then 20; if not 20 then not 10) Jinx will go bankrupt.

Answer - E

Hi shameekv1989
How are you my friend?

I have a doubt regarding option E.
How did you assume the reverse order to be true.
If for some reason they want to have the productivity improvement at 10%. Then also it the company will not go bankrupt.

I chose C. I know it has flaws but it seems E is also not that tight in terms of logic.

What do you think?

Best Regards
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Hi shameekv1989
How are you my friend?

I have a doubt regarding option E.
How did you assume the reverse order to be true.
If for some reason they want to have the productivity improvement at 10%. Then also it the company will not go bankrupt.

I chose C. I know it has flaws but it seems E is also not that tight in terms of logic.

What do you think?

Best Regards[/quote]

Okay let me explain it in detail. I have spent a great deal of time in these Conditionality concept.

Basically argument is of this order ->
Background information :- The gaming market recently went through a huge transformation -> This doesn't have any impact on the argument as such

Conditional Statement -> Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy

Event -> Avoiding Bankruptcy
Necessary condition -> Jinx must raise productivity by 10% (And if 10% is achievable 20% is also achievable) so we can say Jinx must raise its productivity by 20%

Necessary condition is different than Sufficient condition in that Sufficient is the only condition that is needed for an event to be fulfilled whereas necessary condition is a one that is necessary but not the only one.

Number of necessary conditions will make an event to be fulfilled (in other terms for an event to be sufficed)

In this argument we have necessary condition not a sufficient condition. That is by increasing 20% wouldn't mean that Jinx would be out of bankruptcy. It would mean that Jinx has fulfilled one of the conditions that is must for it to avoid bankruptcy.

When we have such conditionality its logical negation is also true.

In this argument, If 20% i.e. to say 10% productivity is not achieved would mean that Jinx will not be able to suffice a "NECESSARY CONDITION" which is must for it to avoid bankruptcy. Therefore, if 20% is not attainable, Jinx will go bankrupt for sure.

C has flaws as you suggested. But look at B

B says it will not go bankrupt if 20% is achieved. NO!! Because 20% is achieved is just one condition (a necessary one) for Jinx to avoid bankruptcy. But there are /can be other necessary conditions (not stated in argument) as well that must also be fulfilled for Jinx to avoid bankruptcy. Thus option B is a case of "confusing a necessary condition with Sufficient condition" - i.e. it says that it is the only condition (A sufficient condition) for Jinx to avoid bankruptcy (i.e. an event to be fulfilled)

Hope it helps!![/quote]

Thanks mate for the detailed explanation.
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The gaming market recently went through a huge transformation; therefore, Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy. However, Jinx‖s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is also attainable. - If Jinx productivity increase (#) >= 10% over two years then only it will not be bankrupt.

If the statements above are true, which one of the following must also be true? - Considering above argument true, what else has to be true?

(A) It is only Jinx's production structure that makes it possible for Jinx to survive the transformation of the market. - Not given , Jinx PS is responsible for increasing # from 10 to 20, not making is 10.
(B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.Jinx can still go bankrupt, check the word 'avoid'.
(C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.Out of scope.
(D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.- Inconsistent, not given anywhere.
(E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt - If 20% # is not attained, means # is not 10%, consequently Jinx will go bankrupt.
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The gaming market recently went through a huge transformation; therefore, Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy. However, Jinx‖s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is also attainable.

If the statements above are true, which one of the following must also be true?
(A) It is only Jinxs production structure that makes it possible for Jinx to survive the transformation of the market.
(B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
(C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.
(D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.
(E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt



A fairly simple conditional conclusion which tricks you to swap the Necessary Condition and Sufficient Condition.

Conclusion: IF Jinx has to avoid bankruptcy, then it has to increase the productivity by 10%.
Principle: 10% gain = 20% gain.

There are four ways GMAC presents a conditional conclusion in inference answer choices. Just select the contra-positive presentation and your'e good to go.

1. Restate: If Jinx has to avoid bankruptcy, then it has to increase the productivity by 20%. Correct
2. Wrong Negation: If Jinx has to not avoid bankruptcy, then it should not increase productivity by 20%. Wrong
3. Wrong Reversal: If Jinx increases productivity by 20%, then it can avoid bankruptcy. Wrong. This is option B where most people confuse.
4. Contra-Positive: If Jinx cannot increase productivity by 20%, then it cannot avoid bankruptcy. Correct. This is option E.

Hence E is correct answer.
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Choice E:


Premise :

=> gaming market underwent a huge transformation

=> jink x must increase productivity by 10% in Next 2 years

Conclusion :
if 10% is possible so 20% increase also achievable

A) out of context
B) There may be some other reason for jinx to go bankrupt and By negating the choice conclusion does not break
C) not necessarily
D) there's no such hard and fast rule
E) clearly says that if a 20% increase is not attainable, then jinx won't be able to increase productivity by 10%. So jinx will go bankrupt. Choice E satisfies the premise.
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(A) It is only Jinxs production structure that makes it possible for Jinx to survive the transformation of the market.
There may be a different structure plsn we are just not aware of it


(B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
We have no clarity whether it's a sufficient criteria or just one among many criteria


(C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.
Here to were not given light whether the structural transformation had a direct impact or an independent one which eeven in the absence could have lead to the change

(D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.
There is no guarantee as of whether it will achieve or not

(E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt
Since if 10 per cent is achievable then surely even 20 is achievable then if 20 is not achievedthen there is a chance that it will go bankruptcy
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I opted for B - don't understand how E is a stronger option?

E says if a 20% inc is unattainable, so a 10% inc. will also be unattainable and it'll go bankrupt
B says that Jinx will not go bankrupt if it achieves a prod. of 20% over the next two years - doesn't this become like sort of a restatement of the statement and hence more closer to the argument and more valid?
CrackVerbal
The gaming market recently went through a huge transformation; therefore, Jinx Inc. must increase productivity by 10 percent over the course of the next two years if it wants to avoid bankruptcy. However, Jinx‖s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is also attainable.

If the statements above are true, which one of the following must also be true?

(A) It is only Jinxs production structure that makes it possible for Jinx to survive the transformation of the market.
(B) Jinx will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
(C) If the gaming market had not been transformed, Jinx would have required no productivity increase in order to avoid bankruptcy.
(D) Because of the transformation of the gaming market, Jinx will achieve a productivity increase of 10 percent over the next two years.
(E) If a 20 percent productivity increase is unattainable for Jinx, it must go bankrupt
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I think the correct answer is E: if 20% growth is unattainable, then 10% is unattainable, and without 10% growth Jinx will have to go bankrupt.
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