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08 Apr 2019, 06:08
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A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
35%
(medium)
Question Stats:
73% (02:14) correct
27%
(02:34)
wrong
based on 453
sessions
History
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Metalix Corporations owns several factories across the country. The one in Cookville is more advanced and efficient that the others. The Cookville factory is capable of producing 10 stainless steel mugs for each dollar of production costs, whereas the other factories can produce just 7 stainless steel mugs per dollar of production costs. Therefore, Metalix Corporation can reduce its overall stainless steel mugs production costs by devoting the Cookville factory entirely to stainless steel mugs production. Since reducing the production costs of individual products is the only way to achieve the larger goal of reducing overall production costs of the company, dedicating the Cookville factory entirely to stainless steel mugs production and shifting all other item production to its other factories will help Metalix to attain that larger goal.
Which of the following is an assumption involved in the argument given above?
A. The Cookville factory is not the most efficient at producing another of the many Metalix products that is more profitable than stainless steel mugs.
B. At present, Metalix Corporation is capable of fulfilling all the orders its buyers place without delay.
C. Cookville has the perfect economic environment for the production of stainless steel utensils.
D. The other factories do not deploy older technology that cannot be upgraded as per the company’s requirement.
E. The other factories together represent a greater share in the total production of Metalix Corporation than does the Cookville factory.
Which of the following is an assumption involved in the argument given above?
A. The Cookville factory is not the most efficient at producing another of the many Metalix products that is more profitable than stainless steel mugs.
B. At present, Metalix Corporation is capable of fulfilling all the orders its buyers place without delay.
C. Cookville has the perfect economic environment for the production of stainless steel utensils.
D. The other factories do not deploy older technology that cannot be upgraded as per the company’s requirement.
E. The other factories together represent a greater share in the total production of Metalix Corporation than does the Cookville factory.
08 Apr 2019, 12:55
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Why option D cannot be the answer??
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Posted from my mobile device
08 Apr 2019, 17:49
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D could be. But as per the argument, the intention is to increase the company's profits.
Now imagine yourself as an owner. If two people come with options A and D, which one would you logigically choose ?
D needs investment to revamp, while A may not require any upgrades.
So A is the better choice.
Posted from my mobile device
Now imagine yourself as an owner. If two people come with options A and D, which one would you logigically choose ?
D needs investment to revamp, while A may not require any upgrades.
So A is the better choice.
Posted from my mobile device
