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gurasis1
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At Consolidated Foundries, for a resolution to become policy, a quorum Updated on: 30 Oct 2017, 06:06
Originally posted by gurasis1 on 30 Oct 2017, 06:02.
Last edited by Bunuel on 30 Oct 2017, 06:06, edited 1 time in total.
Renamed the topic, edited the question and added the OA.
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B
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!

Difficulty:

75% (hard)

Question Stats:

45% (01:40) correct 55% (01:41) wrong based on 381 sessions

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At Consolidated Foundries, for a resolution to become policy, a quorum of at least half the 20 directors must pass the resolution by at least a two-thirds majority. At a meeting of the board of directors, did resolution X pass or fail? 

(1) Ten directors voted for the resolution. 
(2) Seven directors voted against the resolution

Show Spoiler
......
Correct answer says B but my query is say for statement 2 only 7 directors came then the quorum will fail cause of lack of minimum strength ie 50 percent.

And what if 10 members attend meeting and 7 vote against. Then quorom fails.

Here are are getting contradiction answers so answer IMO should be E.

What do you guys think?
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B
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chetan2u
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At Consolidated Foundries, for a resolution to become policy, a quorum 30 Oct 2017, 06:32
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gurasis1
At Consolidated Foundries, for a resolution to become policy, a quorum of at least half the 20 directors must pass the resolution by at least a two-thirds majority. At a meeting of the board of directors, did resolution X pass or fail? 

(1) Ten directors voted for the resolution. 
(2) Seven directors voted against the resolution

Show Spoiler
......
Correct answer says B but my query is say for statement 2 only 7 directors came then the quorum will fail cause of lack of minimum strength ie 50 percent.

And what if 10 members attend meeting and 7 vote against. Then quorom fails.

Here are are getting contradiction answers so answer IMO should be E.

What do you guys think?
Show more

hi...

the answer is going to be B ..
(1) Ten directors voted for the resolution. 
you do not know how many were present....
if LESS than 15 ans is PASSED
if MORE than 15, ans is NO
Insuff

(2) Seven directors voted against the resolution
Take the max 20..
2/3 of 20 is 13.33, so 14 should have passed
so MAX possible NOs is 6, even if all 20 are participating..
here it is 7,
ans will always be NO
suff

B
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At Consolidated Foundries, for a resolution to become policy, a quorum 15 Dec 2017, 12:35
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Hi chetan2u

I got B, as statement 2 sufficient to say that resolution did not get 2/3 majority.

However, i am confused at the wording - "at least half the 20 directors", can you please explain? is n't 2/3 already mentioning that it needs more than half?

Thanks
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At Consolidated Foundries, for a resolution to become policy, a quorum 16 Dec 2017, 05:53
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hellosanthosh2k2
Hi chetan2u

I got B, as statement 2 sufficient to say that resolution did not get 2/3 majority.

However, i am confused at the wording - "at least half the 20 directors", can you please explain? is n't 2/3 already mentioning that it needs more than half?

Thanks
Show more

Hi...

what it means is ..
At least half of 20, so at least 10, should have participated in the passing of resolution.. and among those who participated, 2/3 should have said YES

among those who participated could be any number who participated 10,11,12..or all 20
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At Consolidated Foundries, for a resolution to become policy, a quorum 23 Dec 2018, 11:53
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gurasis1
At Consolidated Foundries, for a resolution to become policy, a quorum of at least half the 20 directors must pass the resolution by at least a two-thirds majority. At a meeting of the board of directors, did resolution X pass or fail? 

(1) Ten directors voted for the resolution. 
(2) Seven directors voted against the resolution
Show more

Given: A quorum of at least half the 20 directors must pass the resolution by at least a two-thirds majority

Target question: At a meeting of the board of directors, did resolution X pass or fail? 

Statement 1: Ten directors voted for the resolution. 
KEY: We don't know how many directors attended the meeting.
Let's test some possible scenarios that satisfy statement 1:
Case a: 12 directors attended, and 10 of them voted FOR the resolution. Since 10/12 > 2/3, the answer to the target question is YES, the resolution passed
Case b: 20 directors attended, and 10 of them voted FOR the resolution. Since 10/20 < 2/3, the answer to the target question is NO, the resolution did NOT pass
Since we cannot answer the target question with certainty, statement 1 is NOT SUFFICIENT

Statement 2: Seven directors voted against the resolution
Let's examine all possible cases:
Case a: 7 directors attended the meeting. Since we need at least 10 directors to form a quorum, the resolution did NOT pass
Case b: 8 directors attended the meeting. Since we need at least 10 directors to form a quorum, the resolution did NOT pass
Case c: 9 directors attended the meeting. Since we need at least 10 directors to form a quorum, the resolution did NOT pass
Case d: 10 directors attended, and 7 voted AGAINST. So 3 voted FOR the resolution. Since 3/10 < 2/3, the resolution did NOT pass
Case e: 11 directors attended, and 7 voted AGAINST. So 4 voted FOR the resolution. Since 4/11 < 2/3, the resolution did NOT pass
Case f: 12 directors attended, and 7 voted AGAINST. So 5 voted FOR the resolution. Since 5/12 < 2/3, the resolution did NOT pass
.
.
.
.
Case n: 20 directors attended, and 7 voted AGAINST. So 13 voted FOR the resolution. Since 13/20 < 2/3, the resolution did NOT pass

Since the answer to the target question is the SAME every time, statement 2 is SUFFICIENT

Answer: B

Cheers,
Brent
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At Consolidated Foundries, for a resolution to become policy, a quorum 23 Aug 2020, 00:57
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BrentGMATPrepNow

why we are considering max no. of director is 20?
what does the sentence mean by
a quorum of at least half the 20 directors must pass the resolution by at least a two-thirds majority.




Quote:
Statement 2: Seven directors voted against the resolution
Let's examine all possible cases:
Case a: 7 directors attended the meeting. Since we need at least 10 directors to form a quorum, the resolution did NOT pass
Case b: 8 directors attended the meeting. Since we need at least 10 directors to form a quorum, the resolution did NOT pass
Case c: 9 directors attended the meeting. Since we need at least 10 directors to form a quorum, the resolution did NOT pass
Case d: 10 directors attended, and 7 voted AGAINST. So 3 voted FOR the resolution. Since 3/10 < 2/3, the resolution did NOT pass
Case e: 11 directors attended, and 7 voted AGAINST. So 4 voted FOR the resolution. Since 4/11 < 2/3, the resolution did NOT pass
Case f: 12 directors attended, and 7 voted AGAINST. So 5 voted FOR the resolution. Since 5/12 < 2/3, the resolution did NOT pass
.
.
.
.
Case n: 20 directors attended, and 7 voted AGAINST. So 13 voted FOR the resolution. Since 13/20 < 2/3, the resolution did NOT pass
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At Consolidated Foundries, for a resolution to become policy, a quorum 23 Aug 2020, 06:22
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BrentGMATPrepNow

why we are considering max no. of director is 20?
what does the sentence mean by
a quorum of at least half the 20 directors must pass the resolution by at least a two-thirds majority.

Show more

The wording of the question is a little bit confusing.
In order for a resolution to pass, two things need to occur:
1) At least 10 of the company's 20 directors must attend the meeting
2) At least 2/3 of the attending directors must vote for the resolution
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At Consolidated Foundries, for a resolution to become policy, a quorum 24 Mar 2026, 09:17
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