Events & Promotions
|
|
GMAT Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.
Customized
for You
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
May 1506:00 PM PDT
-07:00 PM PDT
Start your free trial!
May 1612:30 AM EDT
-01:30 AM EDT
Struggling to find the right strategies to score a 99 %ile on GMAT Focus? Riya (GMAT 715) boosted her score by 100-points in just 15 days! Discover how the right mentorship, tailored strategies, and an unwavering mindset can transform your GMAT prep.
May 1212:00 PM EDT
-11:59 PM EDT
Make the most of your break with the most realistic GMAT™ prep. Take up to $700 off select products.
May 1501:00 PM IST
-11:00 AM IST
Start your journey with a fully customized action plan and work with a dedicated mentor to achieve a 735+ score.
May 1701:00 AM EDT
-02:00 AM EDT
Looking for your GMAT motivation to break through the score plateau? Pragati improved her score by massive 160 points with strategic guidance and hard-work! Find out how personalized mentorship and a strong mindset can turn GMAT struggles into success.
May 1810:00 AM PDT
-11:00 AM PDT
Join us in a live GMAT practice session and solve 25 challenging GMAT questions with other test takers in timed conditions, covering GMAT Quant, Data Sufficiency, Data Insights, Reading Comprehension, and Critical Reasoning questions.- May 19
12:00 PM PDT
-01:00 PM PDT
Scoring 329 on the GRE is not always about using more books, more courses, or a longer study plan. In this episode of GRE Success Talks, Ashutosh shares his GRE preparation strategy, study plan, and test-day experience, explaining how he kept his prep.... - Jun 10
06:00 AM PDT
-06:15 PM PDT
Register for the GMAT Club Virtual MBA Spotlight Fair – the world’s premier event for serious MBA candidates. This is your chance to hear directly from Admissions Directors at nearly every Top 30 MBA program..
renjana
Joined: 11 Jun 2015
Last visit: 06 Dec 2019
Posts: 70
Own Kudos:
Given Kudos: 86
Location: India
Concentration: Marketing, Leadership
Schools: CMU MSPM "21 (A)
03 Jul 2018, 06:56
Kudos
Bookmarks
A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
(N/A)
Question Stats:
25% (00:11) correct
75%
(01:24)
wrong
based on 4
sessions
History
Date
Time
Result
Not Attempted Yet
Five years ago, McDonald’s made a big mistake by selling off its Chipotle stake to refocus on its core products. Today Chipotle has a market cap of $9 billion (10 percent that of McDonald’s) and the revenue growth it generated during these five years would have more than doubled McDonald’s total revenue growth.
If the information given above is true, which of the following must be true?
Answer Choices
A)If the ratio of revenue to market cap for McDonald’s has remained equal to that of Chipotle in the last five years, then Chipotle has grown at a significantly faster rate than McDonald’s.
B)Chipotle’s current revenues must be less than the current revenues of McDonald’s.
C)If market cap is directly proportional to the revenue of a company, then Chipotle must have more than doubled its market cap in the last five years.
D)The ratio of revenue to market cap for McDonald’s is significantly lower than that for Chipotle.
E)If both Chipotle and McDonald’s continue to grow at the same pace, then Chipotle will have greater revenues than McDonald’s within the next 10 years.
If the information given above is true, which of the following must be true?
Answer Choices
A)If the ratio of revenue to market cap for McDonald’s has remained equal to that of Chipotle in the last five years, then Chipotle has grown at a significantly faster rate than McDonald’s.
B)Chipotle’s current revenues must be less than the current revenues of McDonald’s.
C)If market cap is directly proportional to the revenue of a company, then Chipotle must have more than doubled its market cap in the last five years.
D)The ratio of revenue to market cap for McDonald’s is significantly lower than that for Chipotle.
E)If both Chipotle and McDonald’s continue to grow at the same pace, then Chipotle will have greater revenues than McDonald’s within the next 10 years.
Archived Topic
Hi there,
This topic has been closed and archived due to inactivity or violation of community quality standards. No more replies are possible here.
Where to now? Join ongoing discussions on thousands of quality questions in our Critical Reasoning (CR) Forum
Still interested in this question? Check out the "Best Topics" block below for a better discussion on this exact question, as well as several more related questions.
Thank you for understanding, and happy exploring!
renjana
Joined: 11 Jun 2015
Last visit: 06 Dec 2019
Posts: 70
Own Kudos:
Given Kudos: 86
Location: India
Concentration: Marketing, Leadership
Schools: CMU MSPM "21 (A)
03 Jul 2018, 06:59
Kudos
Bookmarks
Cannot under option 1 wrt the answer and how its related considering we have no information on Actual revenue value and considering revenue is also 10% of McDonalds how does it translate to rate of growth
