GMAT Question of the Day - Daily to your Mailbox; hard ones only

It is currently 22 Oct 2018, 16:06

Close

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

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Close

Request Expert Reply

Confirm Cancel

V04-20

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 50042
V04-20  [#permalink]

Show Tags

New post 16 Sep 2014, 02:01
00:00
A
B
C
D
E

Difficulty:

  25% (medium)

Question Stats:

77% (01:08) correct 23% (01:30) wrong based on 35 sessions

HideShow timer Statistics

Several internet-based companies that use open-source software for their day-to-day operations have been surprised at the degree to which volunteer contributions increase productivity. At the same time, the overall profits of most of these companies have increased, since a much smaller percentage of overall revenue per working hour must be directed toward salaries. Beginning internet companies should imitate this successful model by hiring only a small core staff and leaving the rest of the tasks to volunteers.

Which of the following, if true, would most weaken the argument that a beginning internet company can best increase its profitability by relying on volunteer labor?


A. Internet companies can also increase profitability by paying lower salaries to more full-time employees.
B. Cash flow in internet companies is very different from cash flow in traditional companies, so that not all bookkeeping procedures apply.
C. Internet companies often perform tasks that are highly specialized, and volunteers are not always able to complete necessary portions of projects.
D. The average number of hours worked by a volunteer at an internet company is already greater than the average number worked by volunteers at traditional companies.
E. Volunteers often hold other full-time jobs, making their actual financial contributions to internet companies difficult to calculate.

_________________

New to the Math Forum?
Please read this: Ultimate GMAT Quantitative Megathread | All You Need for Quant | PLEASE READ AND FOLLOW: 12 Rules for Posting!!!

Resources:
GMAT Math Book | Triangles | Polygons | Coordinate Geometry | Factorials | Circles | Number Theory | Remainders; 8. Overlapping Sets | PDF of Math Book; 10. Remainders | GMAT Prep Software Analysis | SEVEN SAMURAI OF 2012 (BEST DISCUSSIONS) | Tricky questions from previous years.

Collection of Questions:
PS: 1. Tough and Tricky questions; 2. Hard questions; 3. Hard questions part 2; 4. Standard deviation; 5. Tough Problem Solving Questions With Solutions; 6. Probability and Combinations Questions With Solutions; 7 Tough and tricky exponents and roots questions; 8 12 Easy Pieces (or not?); 9 Bakers' Dozen; 10 Algebra set. ,11 Mixed Questions, 12 Fresh Meat

DS: 1. DS tough questions; 2. DS tough questions part 2; 3. DS tough questions part 3; 4. DS Standard deviation; 5. Inequalities; 6. 700+ GMAT Data Sufficiency Questions With Explanations; 7 Tough and tricky exponents and roots questions; 8 The Discreet Charm of the DS; 9 Devil's Dozen!!!; 10 Number Properties set., 11 New DS set.


What are GMAT Club Tests?
Extra-hard Quant Tests with Brilliant Analytics

Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 50042
Re V04-20  [#permalink]

Show Tags

New post 16 Sep 2014, 02:01
Official Solution:


Several internet-based companies that use open-source software for their day-to-day operations have been surprised at the degree to which volunteer contributions increase productivity. At the same time, the overall profits of most of these companies have increased, since a much smaller percentage of overall revenue per working hour must be directed toward salaries. Beginning internet companies should imitate this successful model by hiring only a small core staff and leaving the rest of the tasks to volunteers.

Which of the following, if true, would most weaken the argument that a beginning internet company can best increase its profitability by relying on volunteer labor?


A. Internet companies can also increase profitability by paying lower salaries to more full-time employees.
B. Cash flow in internet companies is very different from cash flow in traditional companies, so that not all bookkeeping procedures apply.
C. Internet companies often perform tasks that are highly specialized, and volunteers are not always able to complete necessary portions of projects.
D. The average number of hours worked by a volunteer at an internet company is already greater than the average number worked by volunteers at traditional companies.
E. Volunteers often hold other full-time jobs, making their actual financial contributions to internet companies difficult to calculate.


Situation:In order to increase profits, beginning internet companies should hire few staff and rely on volunteers for the bulk of tasks.

Reasoning: Which most clearly shows a problem with relying on volunteer labor? The advantages of volunteer labor come in terms of both productivity and profit. If, however, the presence of volunteers can be shown to actually damage one of these goals, then the soundness of the model proposed by the plan will be seriously undermined.
  1. This option does not speak directly to the question of whether volunteers are best for a beginning company.
  2. Bookkeeping procedures are not mentioned in the passage; this statement is out of scope.
  3. This option directly undermines the suggestion that volunteers are good for all starting internet businesses by describing a situation in which volunteers could actually undermine productivity.
  4. The average number of hours worked by volunteers has no impact on the soundness of the plan. Also, traditional companies are not mentioned in the passage.
  5. The passage is concerned primarily with the productivity contributions of volunteers, which translate into financial contributions. The fact that volunteers hold other jobs would have more impact on the volunteers themselves than it would on the finances of the internet company.

Answer: C
_________________

New to the Math Forum?
Please read this: Ultimate GMAT Quantitative Megathread | All You Need for Quant | PLEASE READ AND FOLLOW: 12 Rules for Posting!!!

Resources:
GMAT Math Book | Triangles | Polygons | Coordinate Geometry | Factorials | Circles | Number Theory | Remainders; 8. Overlapping Sets | PDF of Math Book; 10. Remainders | GMAT Prep Software Analysis | SEVEN SAMURAI OF 2012 (BEST DISCUSSIONS) | Tricky questions from previous years.

Collection of Questions:
PS: 1. Tough and Tricky questions; 2. Hard questions; 3. Hard questions part 2; 4. Standard deviation; 5. Tough Problem Solving Questions With Solutions; 6. Probability and Combinations Questions With Solutions; 7 Tough and tricky exponents and roots questions; 8 12 Easy Pieces (or not?); 9 Bakers' Dozen; 10 Algebra set. ,11 Mixed Questions, 12 Fresh Meat

DS: 1. DS tough questions; 2. DS tough questions part 2; 3. DS tough questions part 3; 4. DS Standard deviation; 5. Inequalities; 6. 700+ GMAT Data Sufficiency Questions With Explanations; 7 Tough and tricky exponents and roots questions; 8 The Discreet Charm of the DS; 9 Devil's Dozen!!!; 10 Number Properties set., 11 New DS set.


What are GMAT Club Tests?
Extra-hard Quant Tests with Brilliant Analytics

Intern
Intern
avatar
B
Joined: 03 Aug 2018
Posts: 2
Premium Member CAT Tests
Confused about "if true" in question stem.  [#permalink]

Show Tags

New post 23 Sep 2018, 10:13
Question stem allows us to consider options with the presumption that all options, including any new facts they present, are true.

Given that, I agree with Option C. But I have had an experience with similar question when option was not used as best answer as the new fact given in the option was not part of the passage. Which is the right approach?

For reference, the question I refer to is:
In an experiment involving taste, researchers had participants try two versions of a cola, one regular and another, called “cola extra,” to which a secret ingredient had been added. The researchers found that, when the tasters did not know that the secret ingredient was white vinegar, they preferred “cola extra” by a margin of almost two to one. However, when tasters were told the identity of the secret ingredient before drinking, they preferred the cola without vinegar 98% of the time.

Which of the following, if true, forms the best basis for an explanation of this outcome?


A. Most consumers are excited by the possibility of tasting a “secret ingredient” and will always prefer that choice.
B. For most consumers, expectation strongly influences the ability to accurately distinguish flavors.
C. Most cola drinkers prefer beverages without vinegar, even when they do not know vinegar is present.
D. Researchers skewed results by telling participants in the second group what the secret ingredient was.
E. The first group of taste testers was disproportionately composed of people who enjoy the taste of vinegar.

Basis the presumption of truth for all options, the answer for my reference questions should be E., but OA states differently.

Kindly help clarify. Thanks much!

Cheers.
GMAT Club Bot
Confused about "if true" in question stem. &nbs [#permalink] 23 Sep 2018, 10:13
Display posts from previous: Sort by

V04-20

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  

Moderators: chetan2u, Bunuel



Copyright

GMAT Club MBA Forum Home| About| Terms and Conditions and Privacy Policy| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.