Events & Promotions
|
|
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
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Apr 2212:30 AM EDT
-01:30 AM EDT
At one point, she believed GMAT wasn’t for her. After scoring 595, self-doubt crept in and she questioned her potential. But instead of quitting, she made the right strategic changes. The result? A remarkable comeback to 695. Check out how Saakshi did it.
Apr 1612:00 PM EDT
-11:59 PM EDT
You’re first to know: Save $200 on GMAT prep starting tomorrow, 4/13. Get 6 official practice tests and study with real questions. Be ready to save!
Apr 2301:30 AM EDT
-02:30 AM EDT
Struggling with GMAT Verbal as a non-native speaker? Harsh improved his score from 595 to 695 in just 45 days—and scored a 99 %ile in Verbal (V88)! Learn how smart strategy, clarity, and guided prep helped him gain 100 points.
Apr 2308:00 PM PDT
-09:00 PM PDT
Video explanations + diagnosis of 10 weakest areas + 150+ short videos + study plan!
Apr 2610:00 AM EDT
-11:00 AM EDT
The Target Test Prep course represents a quantum leap forward in GMAT preparation, a radical reinterpretation of the way that students should study. Try before you buy with a 5-day, full-access trial of the course for FREE!
Apr 2711:00 AM EDT
-12:00 PM EDT
Prefer video-based learning? The Target Test Prep OnDemand course is a one-of-a-kind video masterclass featuring 400 hours of lecture-style teaching by Scott Woodbury-Stewart, founder of Target Test Prep and one of the most accomplished GMAT instructors
Apr 2808:00 AM PDT
-11:00 AM PDT
Whether you are just beginning your MBA journey or fine-tuning your path to a 700+ score, GMAT Day is designed to give you a competitive edge.
08 Jul 2025, 08:00
Kudos
Bookmarks
B
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
55%
(hard)
Question Stats:
68% (01:55) correct
32%
(02:18)
wrong
based on 479
sessions
History
Date
Time
Result
Not Attempted Yet
To encourage economic development in remote regions, the federal government pays regional governments a bonus based on the total volume of goods delivered to businesses within their region. A shipping company proposes building a national distribution hub in one such region, routing most national shipments through the hub before final delivery elsewhere. In exchange, the company requests a share of the bonuses, arguing that the regional government would greatly profit from the substantial increase in shipment volume.
The company’s argument depends on which of the following assumptions?
(A) Without the proposed hub, most shipments would bypass the remote region entirely.
(B) The federal government awards bonuses based on total shipment volume passing through a region, not just on shipments delivered locally.
(C) The regional government would only share bonuses if the new hub directly benefited local businesses.
(D) Routing shipments through the new hub would not make delivery times longer than shipping via current routes.
(E) Businesses in the remote region currently account for a small proportion of the shipping company’s national shipments.
The company’s argument depends on which of the following assumptions?
(A) Without the proposed hub, most shipments would bypass the remote region entirely.
(B) The federal government awards bonuses based on total shipment volume passing through a region, not just on shipments delivered locally.
(C) The regional government would only share bonuses if the new hub directly benefited local businesses.
(D) Routing shipments through the new hub would not make delivery times longer than shipping via current routes.
(E) Businesses in the remote region currently account for a small proportion of the shipping company’s national shipments.
|
08 Jul 2025, 08:30
Kudos
Bookmarks
Bunuel
GMAT Club Official Explanation:
(A): This is an economic argument that plays on the evaluation of the proposal. The local government may say that the hub is not adding value and thus not agree to share profits in the goods are already passing through the region. However, the word entirely makes it a failed and too extreme assumption. We can have some goods pass through the region and this plan would still work, we do not have to ensure that all goods do not pass entirely.
(B) (Correct): This directly addresses the critical assumption: the company’s argument hinges on bonuses being awarded for all shipments passing through, not only those that end in the region.
(C): Local business benefits are irrelevant; the argument is specifically about increased shipment volume and related bonuses, not local business impact.
(D): Though relevant to practicality, the argument about profiting from bonus volume doesn't strictly depend on avoiding delays, delays might impact attractiveness but not bonus calculation logic.
(E): Current local shipment proportions are irrelevant. The key issue is increasing the total shipment volume passing through the region, not the current volume delivered there.
General Discussion
08 Jul 2025, 08:09
Kudos
Bookmarks
The companys argument is that the regional government would greatly profit from the substantial increase in shipment volume. But the federal government pays bonuses on the total volume of goods delivered to businesses within their region and did not mention goods passing through the region. The regional government will highly profit only when bonuses are also given to goods passing through the region.
Option B encapsulates this point and the answer is option B.
Option B encapsulates this point and the answer is option B.
Bunuel
