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World War II had a profound effect on the growth of nascent businesses

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World War II had a profound effect on the growth of nascent businesses [#permalink]

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World War II had a profound effect on the growth of nascent businesses. The Acme Packaging Company netted only $10,000 in the year before the war. By 1948, it was earning almost 10 times that figure.

The argument above depends upon which of the following assumptions.

A- Acme's growth rate is representative of that of other nascent businesses.

B- An annual profit of $10,000 is not especially high.

C- Wars inevitably stimulate a nation's economy.

D- Rapid growth for nascent businesses is especially desirable.

E- Acme is not characterized by responsible, far-sighted managers.
[Reveal] Spoiler: OA

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Re: World War II had a profound effect on the growth of nascent businesses [#permalink]

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New post 01 Aug 2017, 03:39
We have been asked to find the assumptions in the argument which talks about the profound
effect the World War II had on the growth of nascent businesses. It gives an example
of Acme Packaging Company which increase its earning to 10 times its earning before the war.

An assumption which is necessary for the argument to hold good is that the growth rate of
Acme Packaging Company is representative of other nascent businesses.
Option A(Acme's growth rate is representative of that of other nascent businesses)
states that and is our correct answer.
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Re: World War II had a profound effect on the growth of nascent businesses   [#permalink] 01 Aug 2017, 03:39
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World War II had a profound effect on the growth of nascent businesses

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