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United Investments’ management has decided to upgrade its mainframe co

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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 02:04
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology. - Correct
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors. - more energy efficiency is good but it is still not useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs.
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well. - Incorrect - this does not help in assessing whether the bank management’s decision will reduce the company’s maintenance costs.
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities. - Irrelevant
(E) Whether other banks in its market recently upgraded their computing systems. - Irrelevant
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 02:57
B for me. A is gone on basis that we are already told in argument about longer operational span. C was also mentioned by the author. D is not concerned with maintenance expenditure. E is out of scope for this argument.
Answer - B
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 03:40
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.
Correct. If the FMP's operational life is more, it will lead to cost savings compared to the new models since they already reduce maintenance costs.

(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.
Although energy efficiency is important, if the operational life of FMP is much lower than the new models, the cost would any be much higher.

(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.
Not relevant. The comparison is only between FMP and new models of existing technology.

(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.
Not relevant.

(E) Whether other banks in its market recently upgraded their computing systems.
Not relevant.

Option A.
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 03:44
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

Understanding the Argument:
Bank plans to upgrade its computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology.
FMP has -simpler, more reliable processors, and their average operational span is substantially longer.

Goal:
What information will help to assess that maintenance cost will be reduced with this new plan. ( Evaluate the argument)


(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.
-Already given in the argument so Eliminate A

(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.
- Goal is to reduce maintenance cost, so if energy efficiency is not high it will increase the cost. And if energy efficiency is high it will reduce the cost. Thus this information will help to evaluate the plan.
So CORRECT

(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.
- Irrelevant information to evaluate the plan So Eliminate C

(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.
- Irrelevant as next years plan not being discussed. So Eliminate D

(E) Whether other banks in its market recently upgraded their computing systems.
- Other banks information is not going to help to evaluate the plan. So Eliminate E

[b]Ans is B[/b]
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 04:06
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United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

The main frame i.e the main point here is to determine whether the above decision is actually reducing the maintenance cost. Lets go through the answer choices

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.- Incorrect, the passage states that the the processor's operational span is considerably higher and they are more reliable hence we don't have to worry about their operational span
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.- Correct. This could really hit the maintainance cost if the energy efficiency is longer than the new models of existing technology. hence this is a factor management must take into consideration.
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.- Irrelevant . We are not concerned about the manufacturers manufacturing the old models, we are concerned whether replacing the old models with newly developed FMPS will reduce the maintenance cost
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.- Irrelevant. This decision is for next year and is not elping in determining the existing decision taken by the management to Upgrade its computers with FMPS than purchasing new models of existing technology.
(E) Whether other banks in its market recently upgraded their computing systems. - Irrelevant. we are not concerned with the other banks here.
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 04:45
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United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.Incorrect.its already given in the statement.

(

B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.Correct.Naturally if FMP computers have higher efficiency than that of new models of existing processors then bank management's decision is correct that it will reduce the mainteance cost.


(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.Incorrect.We are nowhere concerned with older technology.


(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.Incorrect.Purchasing next year doesn't relate to the management's decision


(E) Whether other banks in its market recently upgraded their computing systems. Incorrect. We are not concerned about what other banks are doing.
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 05:05
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs.

FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.
Irrelevant
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.
Irrelevant
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.
(E) Whether other banks in its market recently upgraded their computing systems.
Irrelevant

Between B & D, option B looks more convincing.
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 05:48
(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.
correct option IMO
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.
will it prove to be significant enough
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.
what if some other organization produces the same?
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.
does't matter
(E) Whether other banks in its market recently upgraded their computing systems.
other markets make this argument irrelevant
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 06:20
IMO D.

Premise: United Investment has decided to upgrade its servers instead of buying new ones of the older tech to decrease maintenance costs.
Need to find an argument which verifies that the costs will be reduced-

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.[Already mentioned. Will not strengthen the argument further]
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.[This will not be a part of maintenance costs. Moreover, consumption of energy increase will always be less than adding new servers]
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well. [If it were not present, then the company wouldn't even consider the option between the older technology to the new FMP one]
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities. [If it has to expand, FMP will not really be beneficial and will incur the same maintenance cost anyway. Correct option.]
(E) Whether other banks in its market recently upgraded their computing systems. [Irrelevant]
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United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 06:47
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology - this is correct answer because it directly compares FMP vs existing technology.
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors. energy efficiency might be on the same level as with existing technology therefore cannot tell if costs change, however, higher operational span is what helps to save.
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well. [Out of scope cause we are not interested in knowing whether old technology is still in production]
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities. Without knowing how much, if purchased, new servers affect costs, and if the costs will be significant we cannot use the option. Moreover, it tells us about next year, and we don't know what period management in considering for cost saving
(E) Whether other banks in its market recently upgraded their computing systems. [out of score cause we are only interested in this particular bank's costs]
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 07:10
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology. WRONG. Don't help to assess maintenance costs.
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors. RIGHT. Energy means electricity costs.
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well. WRONG. Don't help to assess maintenance costs, we know nothing about the maintenance costs of older and new tech.
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities. WRONG. Don't help to assess maintenance costs. We don't know how increasing capability influence on costs of FMP and old system.
(E) Whether other banks in its market recently upgraded their computing systems. WRONG. Don't help to assess maintenance costs.

ANSWER B
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 07:18
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(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.
Incorrect. Anyway, it will increase future maintenance costs

(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.
Correct. Energy efficiency computers can cause the reduce in Company's maintenance costs.

(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.
Incorrect. It doesn't talk about improving efficiencies of manufacturers' servers.

(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.
Incorrect. It will cause an increase in maintenance costs.

(E) Whether other banks in its market recently upgraded their computing systems.
Incorrect. Talks about other banks. No sense.

The answer choice is B.
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 07:31
Answer :B

Only related option regarding cost to reduce is B
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 07:57
IMO the correct answer is choice B

If FMP computers have higher energy efficiency than that of new models of the existing processors, then FPM computers are cost effective... If they are not energy efficient then the Banks may incur additional charge !!
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 07:57
We need to find which option talks about an alternative proposal for higher reduction in MAINTENANCE COSTS.

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology. - If new models of existing technology have higher operational span (and therefore lower maintenance costs) it doesn't make sense to switch to FMP.

(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors. - energy efficiency is irrelevant

(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well. - Completely irrelevant

(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities. - Increase in no. of systems will not help to reduce maintenance costs.

(E) Whether other banks in its market recently upgraded their computing systems. - Irrelevant
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 18 Jul 2019, 22:23
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Bunuel wrote:
United Investments’ management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology, in order to significantly reduce its maintenance costs. FMP computers have simpler, more reliable processors, and their average operational span is substantially longer.

Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?

(A) Whether FMP processors’ operational span is significantly longer than that of new models of existing technology.
(B) Whether FMP computers have higher energy efficiency than that of new models of the existing processors.
(C) Whether mainframe computer manufacturers still produce and market servers that are based on the older technology as well.
(D) Whether the bank's management intends to purchase more mainframe servers next year, in order to expand its capabilities.
(E) Whether other banks in its market recently upgraded their computing systems.


Hi Bunuel, I think the answer is A.

Eliminating B: Operating cost and Maintenance costs are two different types of costs. Operating costs relate to cost incurred in operating a machinery such raw material cost, energy cost (which deals with energy efficiency) etc. While maintenance costs are related to bringing the machinery in working condition such as repairs to machinery, etc. Answer choice B gives us whether the company will save on operating cost or not, but it doesnt say anything about maintenance cost.

Eliminating D: This was a close choice with only one problem. Let me rephrase a part of stimuli here "management has decided to upgrade its mainframe computer servers to the newly developed flash-memory processors (FMPs) instead of purchasing new models of its existing technology" and the question is "Which of the following would be most useful in assessing whether the bank management’s decision will reduce the company’s maintenance costs?" what is management's decision here to choose from to purchase newly developed flash-memory processors vs new models of its existing technology. In either case, the number of pieces of machinery will go up if management plans to purchase more mainframe servers next year, in order to expand its capabilities. Therefore, this can't be our answer.

Why A: The stimuli says the management will upgrade its server to flash memory and then says "FMP computers have simpler, more reliable processors, and their average operational span is substantially longer." But it doesn't say how does this fare in comparison to new models of existing technology. Therefore, that information will be required to evaluate the management's claim.
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Re: United Investments’ management has decided to upgrade its mainframe co  [#permalink]

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New post 23 Jul 2019, 05:51
Bunuel MartyTargetTestPrep daagh sayantanc2k GMATNinja


Experts stuck between A and B

Kindly help
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Re: United Investments’ management has decided to upgrade its mainframe co   [#permalink] 23 Jul 2019, 05:51

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