Some of my answers and explanations are wrong.. I'll be updating them soon, once I revise and assimilate the errors..
Be advised to look for those who gave better explanation for those questions.P1 --> this year very bad for tech companies. But last year, very very bad for MS (world's largest Software company).
why - 1. april - JTPJ ruled MS used anti-competitive methods.
2 - june - ordered to split into 2 companies. MS appealed against this and will be heard next month.. ( so not yet splitting.)
because of these 2 reasons -- share price fell.
P2 --> Not only courtroom problems.
In addition -- 1. MS apps are not selling - gives 50% of revenue.
2. PC industry slowdown + internet-based computing.
hence issued a profit warning in over a decade (might have issued before that too..)
add to this race-descrimination lawsuits..
P3 --> so essentially 3 challenges
1. rise of internet-based computing.
2. slowing of apps revenue.
3. potential of split-up (threat).
But all could be resolved with some paln for future of software from MS. not existent everywhere but will come into focus next year..
so.. by next all problems of MS will be solved at once.
---------------------------------------------------------------------------------------------------------------
Main Point --> intro to problems of a company. --> another 2 issues faced by it --> final list of 3 main issues and a plan to solve them all in one sweep, next year.
----------------------------------------------------------------------------------------------------------------------------------------------------------------------
Q
1. According to the passage, which of the following cannot be inferred about Microsoft? A. Microsoft is the world’s largest software companyNot Correct --> yes, as mentioned in 1st paragraph.
B. According to the court ruling, Microsoft has used some unfair means to hold its monopoly in the PC industryNot Correct --> yes, as mentioned in 1st paragraph.
C. The share price of Microsoft has fallen in the aftermath of the court ruling.Correct --> not the aftermath as MS has appealed against and the case will be going back to court. share price has fallen despite of the appeal.
D. This year must not be as terrible as the last one for Microsoft.Not Correct --> yes, last year was particularly dismal for MS. from 1st statement of 1st paragraph.
E. A few technology firms other than Microsoft also faced a decline this year.Not Correct --> yes, from 1st line of 1st paragraph.
----------------------------------------------------------------------------------------------------------------------------------------------------------------------
Q2. Which of the following can be inferred from the passage? A. Although this year was unfavorable for many technology firms, a few ones have enjoyed full profits.Not Correct --> what happened to other firms or they have full profits cannot be inferred as the passage deals with only one firm's issues. and many firms are in horrible situation.
B. Usually when a firm use anti-competitive means it faces a verdict of being split into two.Not Correct --> we don't know what is the case usually. only MS is mentioned in passage.
C. The primary concern for Microsoft is the case being heard under the court of Judge Thomas Penfield Jackson.Not Correct --> as per the last paragraph, JTPJ was not listed among the 3 main challenges.
D. The sale of Microsoft’s Windows 2000 is not up to the mark.Correct --> 2nd statement of 2nd paragraph states the adoption has been slower than expected.
E. Half of the revenues of Microsoft comes from the sale of Windows 2000 and Office 2000Not Correct --> 50% revenue comes from applications, of which office is part of not windows 2000.
----------------------------------------------------------------------------------------------------------------------------------------------------------------------
Q3. Which of the following are the problems for Microsoft
I. The case in the courtroom
II. The company’s below-par performing products
III. The decline in the industry
I. The case in the courtroom poses the break-up threat (against which MS appealed, but not yet resolved.)
II. yes both windows 2000 & Office 2000 takeup has been slower than expected.
III. NO, because not decline in industry alone but the additoinal shift to internet-based computing is more of a problem.A. I onlyNot Correct B. II onlyNot CorrectC. I and III onlyNot Correct D. I and II onlyCorrect --> as discussed above (highlighted in blue).
E. I, II, and IIINot Correct ----------------------------------------------------------------------------------------------------------------------------------------------------------------------
Q4. According to the passage which of the following is correct? A. The popularity of Internet-based computing has declined in recent years.Not Correct --> This is opposite of what is mentioned in passage. 2nd paragraph.
B. Microsoft has never faced profit issues ever.Not Correct --> the profit warning was in over a decade.. ms might have warned before a decade, we don't have enough info.
C. .NET product of Microsoft can solve all of the company's problemsCorrect --> yes, as per the last sentence of the passage. 3rd paragraph.
D. The rise of internet-based computing is not a bigger problem than low-performing products for Microsoft.Not Correct --> opposite of passage. Rise of internet-based computing is one of the 3 main challenges of MS.
E. The profit of Microsoft declined because of its splitting into two companies.Not Correct --> the split did not happen yet and we don't know if it may happen or not.
----------------------------------------------------------------------------------------------------------------------------------------------------------------------
Q5. The primary purpose of the author to write this passage is: A. to introduce a problem and discuss it in detailNot Correct --> summarizes only Paragraphs 1 & 2.
B. to list down the problems of a firm and its possible solutionCorrect --> yes this is the gist.
C. to show a decline in an industry by an exampleNot Correct --> summarizes only Paragraph 1.
D. to introduce a legal problem of a firm and detail its solutionNot Correct --> did not detail any solution to the legal problem. also legal problem is only 1 of 3.
E. to show how a firm can overcome its problemsNot Correct --> only mention of a plan but now how.