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# Whenever a company loses a major product-liability lawsuit,

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Senior Manager
Joined: 30 Aug 2003
Posts: 314
Location: BACARDIVILLE
Whenever a company loses a major product-liability lawsuit,  [#permalink]

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07 Dec 2003, 17:02
1
1
00:00

Difficulty:

45% (medium)

Question Stats:

73% (02:15) correct 27% (02:09) wrong based on 46 sessions

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Whenever a company loses a major product-liability lawsuit, the value of the company's stocks falls significantly within hours after the announcement. Cotoy has long been involved in a major product-liability lawsuit, and its stocks fell significantly in value today. Therefore, we can be sure that an unfavorable judgment against Cotoy in that lawsuit was announced earlier today.

Which one of the following contains flawed reasoning that most closely parallels that in the argument above?

(A) Whenever a business treats its customers discourteously, its customers begin to shop elsewhere. Shopwell wants to keep all of its customers; therefore, its employees will never treat customers discourteously.

(B) Whenever the large airlines decrease fares, the financial stability of smaller competing airlines is adversely affected. Therefore, the smaller competing airlines' financial stability must be seriously threatened when the large airlines announce a large price decrease.

(C) Whenever a country shows a lack of leadership on international issues, respect for the countryтАЩs policies begins to decline. Therefore, to gain respect for its policies, a country should show leadership on international issues.

(D) Whenever an entering student at Cashman College wins the Performance Fellowship, he or she receives \$10,000. Therefore, Eula, a student who has enrolled at Cashman, must have won the Performance Fellowship, because she just received \$10,000 from the college.

(E) Whenever a company advertises its products effectively, the company's sales increase. Oroco's sales have not increased; therefore, it is likely that the company did not advertise its products effectively.

****Any ?
CEO
Joined: 15 Aug 2003
Posts: 3142
Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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07 Dec 2003, 19:51
sunniboy007 wrote:
Whenever a company loses a major product-liability lawsuit, the value of the companyтАЩs stocks falls significantly within hours after the announcement. Cotoy has long been involved in a major product-liability lawsuit, and its stocks fell significantly in value today.
Therefore, we can be sure that an unfavorable judgment against Cotoy in that lawsuit was announced earlier today.

Which one of the following contains flawed reasoning
that most closely parallels that in the argument above?

(A) Whenever a business treats its customers
discourteously, its customers begin to shop
elsewhere. Shopwell wants to keep all of its
customers; therefore, its employees will never
treat customers discourteously.
(B) Whenever the large airlines decrease fares, the
financial stability of smaller competing airlines
is adversely affected. Therefore, the smaller
competing airlinesтАЩ financial stability must be
seriously threatened when the large airlines
announce a large price decrease.
(C) Whenever a country shows a lack of leadership
on international issues, respect for the countryтАЩs
policies begins to decline. Therefore, to gain
respect for its policies, a country should show
(D) Whenever an entering student at Cashman
College wins the Performance Fellowship, he or
she receives \$10,000. Therefore, Eula, a student
who has enrolled at Cashman, must have won
the Performance Fellowship, because she just
(E) Whenever a company advertises its products
effectively, the companyтАЩs sales increase.
OrocoтАЩs sales have not increased; therefore, it is
likely that the company did not advertise its
products effectively.

****Any ?

I think B is best.

good questions

thanks
praetorian
Senior Manager
Joined: 30 Aug 2003
Posts: 314
Location: BACARDIVILLE
Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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07 Dec 2003, 20:12
Praet...
B) isn't correct....
Look closer at the stimulus...
Intern
Joined: 22 Nov 2003
Posts: 35
Location: Serbia
Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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07 Dec 2003, 20:25
In my opinion, D is the right answer.
Intern
Joined: 22 Nov 2003
Posts: 35
Location: Serbia
Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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07 Dec 2003, 20:29
Oh, I was offline when you posted official answer.
Well,not the fastest... but at least I was right....
VP
Joined: 03 Feb 2003
Posts: 1341
Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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09 Dec 2003, 04:51
of course it is D.

The wrong pattern in the initial stem:
If A, then B
If B, then A

D 100% matches it.
Intern
Joined: 13 Apr 2014
Posts: 4
Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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08 Apr 2016, 05:41
I think D is the most right answer.
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Status: He came. He saw. He conquered. -- Studying for the LSAT -- Corruptus in Extremis
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Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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26 Nov 2019, 07:21
Question edited, OA added, and bumping for further discussion
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Re: Whenever a company loses a major product-liability lawsuit,  [#permalink]

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29 Nov 2019, 05:17
sunniboy007 wrote:
Whenever a company loses a major product-liability lawsuit, the value of the company's stocks falls significantly within hours after the announcement. Cotoy has long been involved in a major product-liability lawsuit, and its stocks fell significantly in value today. Therefore, we can be sure that an unfavorable judgment against Cotoy in that lawsuit was announced earlier today.

Which one of the following contains flawed reasoning that most closely parallels that in the argument above?

(A) Whenever a business treats its customers discourteously, its customers begin to shop elsewhere. Shopwell wants to keep all of its customers; therefore, its employees will never treat customers discourteously.

(B) Whenever the large airlines decrease fares, the financial stability of smaller competing airlines is adversely affected. Therefore, the smaller competing airlines' financial stability must be seriously threatened when the large airlines announce a large price decrease.

(C) Whenever a country shows a lack of leadership on international issues, respect for the countryтАЩs policies begins to decline. Therefore, to gain respect for its policies, a country should show leadership on international issues.

(D) Whenever an entering student at Cashman College wins the Performance Fellowship, he or she receives \$10,000. Therefore, Eula, a student who has enrolled at Cashman, must have won the Performance Fellowship, because she just received \$10,000 from the college.

(E) Whenever a company advertises its products effectively, the company's sales increase. Oroco's sales have not increased; therefore, it is likely that the company did not advertise its products effectively.

****Any ?

The logic is that A leads to B
Given that B happened A was the cause.

Thinking on these line we can easily remove A, B, C.
Between D and E
D has the proper structure so it is our answer.
A note on E

A leads to B in choice E but B has not happened and A Not happening is the cause is not the structure we want.
Re: Whenever a company loses a major product-liability lawsuit,   [#permalink] 29 Nov 2019, 05:17
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