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# Venture capitalists, investors who use huge sums of money to

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Venture capitalists, investors who use huge sums of money to [#permalink]

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27 Apr 2005, 09:03
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Venture capitalists, investors who use huge sums of money to fund startup companies, plan to forego immediate profit by funding businesses with low earnings and to benefit richly from future sales of the company or its property.

(A) by funding business with low earnings and to benefit
(B) by funding business with low earnings and by benefiting
(C) funding business with and benefiting
(D) funding business with low earnings, benefiting
(E) with funding business with low earnings and to benefiting

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27 Apr 2005, 09:10
A - to fund, to forego, to benefit...parallelism

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Re: SC "Funding with..." [#permalink]

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27 Apr 2005, 09:51
GMATT73 wrote:
Venture capitalists, investors who use huge sums of money to fund startup companies, plan to forego immediate profit by funding businesses with low earnings and to benefit richly from future sales of the company or its property.

(A) by funding business with low earnings and to benefit
(B) by funding business with low earnings and by benefiting
(C) funding business with and benefiting
(D) funding business with low earnings, benefiting
(E) with funding business with low earnings and to benefiting

Study tip for busy people: try copying questions from this forum and sending them to your mobile phone, that way you can study anywhere, anytime, even while waiting for the crosswalk signal to change

A: Wrong because phrases on both sides of the conjuction "and" arent parallel <
by funding business with low earnings> & <to benefit>

B: Wrong. Though the parallelism syntax is correct, the meaning is distorted. Here is what B says:

VC's <appositive> plan to forego immediate profit by a) funding business with low earnings and by b) benefiting. The meaning doesnt make sense.

C: Wrong. Sentence Fragment. Doesnt have a single IC in it.

E: Wrong for the same reasons that A is. Also "with" is wrong

D is my AC. Syntax makes perfect sense. Avoids conjuction "and"
Also introduces participial phrase "benefitting....." which modifes the subject Venture Capitalists.

Venture capitalists, investors who use huge sums of money to fund startup companies, plan to forego immediate profit funding business with low earnings, benefiting richly from future sales of the company or its property.

Blue = IC
Appositive = Red
Absolute Phrase = Green

To me this makes perfect syntactical sense.

Last edited by gmataquaguy on 01 May 2005, 10:10, edited 1 time in total.

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27 Apr 2005, 16:15
I pick A for ||ism, i think B is a trap. Venture capitalists cannot poosibly plan to forego immediate profit and also plan to benefit which i think is the trap in B

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27 Apr 2005, 18:49
OA is A

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Re: SC "Funding with..." [#permalink]

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01 May 2005, 10:28
gmataquaguy wrote:
GMATT73 wrote:
Venture capitalists, investors who use huge sums of money to fund startup companies, plan to forego immediate profit by funding businesses with low earnings and to benefit richly from future sales of the company or its property.

(A) by funding business with low earnings and to benefit
(B) by funding business with low earnings and by benefiting
(C) funding business with and benefiting
(D) funding business with low earnings, benefiting
(E) with funding business with low earnings and to benefiting

Study tip for busy people: try copying questions from this forum and sending them to your mobile phone, that way you can study anywhere, anytime, even while waiting for the crosswalk signal to change

A: Wrong because phrases on both sides of the conjuction "and" arent parallel <
by funding business with low earnings> & <to benefit>

B: Wrong. Though the parallelism syntax is correct, the meaning is distorted. Here is what B says:

VC's <appositive> plan to forego immediate profit by a) funding business with low earnings and by b) benefiting. The meaning doesnt make sense.

C: Wrong. Sentence Fragment. Doesnt have a single IC in it.

E: Wrong for the same reasons that A is. Also "with" is wrong

D is my AC. Syntax makes perfect sense. Avoids conjuction "and"
Also introduces participial phrase "benefitting....." which modifes the subject Venture Capitalists.

Venture capitalists, investors who use huge sums of money to fund startup companies, plan to forego immediate profit funding business with low earnings, benefiting richly from future sales of the company or its property.

Blue = IC
Appositive = Red
Absolute Phrase = Green

To me this makes perfect syntactical sense.

For AC A i see where i made the mistake - not splitting the root stem from its parallel elements correctly.

Venture capitalists, appositive, plan (1) parallel element #1 AND (2) parallel element #2.

With that being said, Could someone confirm where my logic brokedown for AC D?

Venture capitalists, investors who use huge sums of money to fund startup companies, plan to forego immediate profit funding business with low earnings, benefiting richly from future sales of the company or its property.

Blue = IC
Appositive = Red
Absolute Phrase = Green ---> Modifies the subject of IC [venture capitalists]

However IC isnt really an independent clause because of "profit funding business with low earnings" needs the proposition "by" or else it creates a sentence fragment. if

IC = Venture capitalists plan to forego immediate profit by funding business with low earnings

then the aforementioned logic would be okay. No?

Last edited by gmataquaguy on 01 May 2005, 10:36, edited 1 time in total.

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01 May 2005, 10:36
I think your logical breakdown of choice (D) is correct. However, this is different from intended meaning in (A). Others can confirm.

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01 May 2005, 14:20
Folaa3 wrote:
I pick A for ||ism, i think B is a trap. Venture capitalists cannot poosibly plan to forego immediate profit and also plan to benefit which i think is the trap in B

folaa,you are contradicting yourself on this question.plz check your explanation,as per your explanation B should be the OA.
BTW,

A has the structure---(i.e-maintaining // ism between the verbs)

Venture capitalists plan TO FOREGO ----- and TO BENIFIT------

whereas, B has the structure

Venture capitalists plan to forego immediate profit BY FUNDING--- and BY BENIFITING-----.
we can expect profit BY FUNDING-- and BY BENIFITING---(good construction)
but
can we plan TO FOREGO profits and TO BENIFIT----- (IMO a bad construct)

now, can any one help me which parallal structure to choose.
i still think B as the best choice.[/b]

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03 May 2005, 09:49
no one seems interested in this.

Paul,honghu, jpv, vithal, banerjee, MA, ywilfred, folaa3, praveen, gmataquaguy, sourav and others please adress this question.

i almost get stuck with these type of questions.

another similar type of question is provided in this link.

http://www.gmatclub.com/phpbb/viewtopic.php?t=15452

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Director
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03 May 2005, 10:51
dipaksingh wrote:
no one seems interested in this.

Paul,honghu, jpv, vithal, banerjee, MA, ywilfred, folaa3, praveen, gmataquaguy, sourav and others please adress this question.

i almost get stuck with these type of questions.

another similar type of question is provided in this link.

http://www.gmatclub.com/phpbb/viewtopic.php?t=15452

A is correct for parallel construction. dipaksingh, if you tell me where you are getting confused that would help me address your concern. Remeber, sentence needs to use parallel construction among various phrases not between two words in a same phrase.

Venture capitalists, XYZ, plan to forego immediate profit by funding businesses with low earnings and"plan" to benefit richly from future sales of the company or its property.

"plan" in the second part is elipsed.
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03 May 2005, 12:03
praveen, in A

Venture capitalists plan to forego profit ---- and "plan" to benefit ----.

now aren't the two parts saying the same thing, i.e- "plan to forego profit" and "plan to benifit" (to me same thing), so why do we need it to repeat.

in other words can't it be written like(breaking in two parts)

considering this sentence

Venture capitalists plan to benifit from the future sales of the company or its property.
EQUIVALENT TO

Venture capitalists plan to forego profit by the future sales of the company or its property. ------(1)

Venture capitalists plan to forego profit by funding business with low earnings. ---------(2)

if (1) and (2) are both correct, then to join them in one sentence we would put it like--

Venture capitalists plan to forego profit by FUNDING business with low earnings and by THE FUTURE SALES of the company or its property.---(3)

but since the above sentence(3) lacks parallalism therefore it can be modified as---

Venture capitalists plan to forego profit by FUNDING business with low earnings and by BENEFITING richly from future sales of the company or its property. (which is essentialy what B says.)

one more thing
praveen, do you think this sentence is wrong

I plan to increase my profit by investing in stocks and by launching a new IT-business. ( as per you this sentence is using parallal construction between two words in the same phrase)

the actual problem which i am facing with these type of questions is how to decide what elements are being parallaled.( involving the dreaded "and" to parallal within a sentence)

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04 May 2005, 10:21
dipaksingh wrote:
praveen, in A

Venture capitalists plan to forego profit by the future sales of the company or its property. ------(1)

Venture capitalists plan to forego profit by funding business with low earnings. ---------(2)

if (1) and (2) are both correct, then to join them in one sentence we would put it like--

Venture capitalists plan to forego profit by FUNDING business with low earnings and by THE FUTURE SALES of the company or its property.---(3)

Hi, the red parts are wrong, offending the original meaning.

It should be 'to forego immediate profit and instead to pursue future profit', the two things are capitalists' plans.

(A)(B) are parallel, but B offended the intented meaning.

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04 May 2005, 12:55
Dipak! Sorry I missed your post.

IMO:

Whatever parallel structure u came up with is correct.
Note that GMAT always try to trick us with wrong palcement of parallel structure.
Most important thing in these questions is to identify WHAT IS THE INTENDED MEANING OF CHOICE (A) i.e. ORIGINAL SENTENCE. If I am able to figure out ACTUAL INDENDED MEANING, I know that I have solved more than 50% of problem.

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04 May 2005, 14:57
dipaksingh wrote:
no one seems interested in this.

Paul,honghu, jpv, vithal, banerjee, MA, ywilfred, folaa3, praveen, gmataquaguy, sourav and others please adress this question.

i almost get stuck with these type of questions.

another similar type of question is provided in this link.

http://www.gmatclub.com/phpbb/viewtopic.php?t=15452

Sorry i havent logged on in a while. Let us know if you have any follow questions. Seems to me like chunju and jpv do a good job of answering your question.

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VP
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Re: SC "Funding with..." [#permalink]

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05 May 2005, 18:13
dipaksingh wrote:
no one seems interested in this.

Dipak, i also think A is correct. lets rule out C, D and E and compare between A and B but i am taking little lengthy process. sometime it is easy to understand by partition. lets partition A and B.

(A) Venture capitalists plan to forego immediate profit by funding businesses with low earnings and Venture capitalists plan to benefit richly from future sales of the company or its property.

(B) Venture capitalists plan to forego immediate profit by funding business with low earnings and Venture capitalists plan to forego immediate profit by benefiting richly from future sales of the company or its property.

with the partition, A is parallel after to and B is parallel after by. A says Venture capitalists plan:
1. to forego immediate profit by funding businesses with low earnings and
2. to benefit richly from future sales of the company or its property.

B says Venture capitalists plan to forego immediate profit:
1. by funding business with low earnings and
2. by benefiting richly from future sales of the company or its property.

A talks about the plans of the Venture capitalists where as B is about how they plan to forego immediate profit. therefore A is better.

I hope paul, saurabh, baner, jpv will make it more clear. oh, i am missing our new member SuperCat . i am sure he/she will delight us from his/her uequelled views.

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05 May 2005, 23:21
I do not like the way the sentence is structured. IMO, why will VC's "plan" to forgo immediate profits?

Having said that, I agree with jpv and Praveen on their analysis (and the OA too ).

gmataquaguy: I disagree that the clause "Venture capitalists plan to forego immediate profit funding business with low earnings" is not an IC

Structurally it has no problem It is neither a sentence fragment or a run-on sentence (atleast as per the definitions on webster)

But it has an incorrect meaning in this context (it would mean - VCs plan to forego "profit funding business" with "low earnings")

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Re: SC "Funding with..." [#permalink]

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06 May 2005, 00:07
MA wrote:
(A) Venture capitalists plan to forego immediate profit by funding businesses with low earnings and Venture capitalists plan to benefit richly from future sales of the company or its property.

(B) Venture capitalists plan to forego immediate profit by funding business with low earnings and Venture capitalists plan to forego immediate profit [color=indigo][b]by benefiting richly from future sales of the company or its property

IMO its about the intended meaning. a company cannot forego profits by benefiting richly from future sales. how can they do that ? that would be an oxymoron. the company profits by... and benefits from future sales. that makes sense.
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06 May 2005, 04:07
Agree with Vithal on gmataquaguy's sentence. It has some comprehensive problems. As far as what is being paralleled, christoph is right on the money. How can you forego profit by(as a way to explain how to forego that profit) benefiting from it in a certain way? That is why makes the right comparison between two succinct actions. I chose A also but I must admit that I lengthly weighted A and B for B is also good in terms of parallellism structure. Hence, those who say A is good for parallellism could not reject B because it was not. Instead, B is really rejected because of the "oxymoron" as christoph rightly pointed out.
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Paul

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19 May 2005, 23:49
Chunjun is right. Basically, this sentence says it is willing to give up immediate profit (by funding low earning companies) and then to obtain large profit later (by selling the companies when they grow better because of the funding).

So the parallalism is the two "to do something". It is not saying that it is willing to give up profit period.
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keep on seeking, and you will find;
keep on knocking, and it will be opened to you.

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20 May 2005, 04:16
This is a very interesting post indeed.I have spent considerable time rereading all the posts on this thread.I am totally convinced with A as a suitable answer.

However i am still confused with b.Is it not possible for the VC's to plan to forgo IMMEDIATE PROFITS by benefiting from FUTURE SALES?

I know there is an error in the meaning of this sentence.

Can someone please throw some light on this one.

Best.

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20 May 2005, 04:16
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# Venture capitalists, investors who use huge sums of money to

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