Governor:
Over the past decade, the state
has cut manufacturing subsidies every two years,
and each time manufacturing firms complained that
- the cuts would force them to reduce essential expenditures.
However, each time,
only non-essential expenditures were actually reduced.
So, the manufacturing firms
can implement further cuts without reducing any essential expenditures.
Which of the following, if true, most strongly supports the governor’s conclusion?
A. The state’s manufacturing firms have always managed
their essential expenditures as efficiently as
they have managed their nonessential expenditures.
Correct: manage both gives potential to manage again, this strengthen the conclusion of governor
B. Only rarely do the state’s manufacturing firms overstate
the potential impact of the threatened subsidy cuts.
Wrong: Not about the threat and its impact
C. Price estimates quoted to the state’s manufacturing firms
for non-essential expenditures have not increased substantially
since the most recent subsidy cut.
Wrong: Not about the Price estimates of non-essential expenditure
D. Few state officials support the provision of subsidies
that will allow manufacturing firms to maintain expensive non-essential expenditures.
Wrong: Not about state officials supports
E. The subsidies currently provided to the state’s manufacturing firms allow them
to maintain some non-essential expenditures.
Wrong: No Such information; irrelevant