1000 CR TEST C Q 4

saurabh_1922@yahoo.co.in · Posted: Mon Aug 20, 2007 9:27 pm Post subject: 1000 CR TEST C Q 4

Mainline Airways was bought by its employees six years ago. Three years ago, Mainline hired QualiCo Advertising Agency to handle its promotions and advertising division. Today Mainline’s profits are over 20 percent higher than they were five years ago and 10 percent higher than they were three years ago. Employee ownership and a good advertising agency have combined to make Mainline more profitable.
Which of the following best describes the weak point in the argument above?
(A) It fails to establish a causal connection between the change in ownership at Mainline Airways and the hiring of QualiCo, on the one hand, and the rise in Mainline’s profits, on the other.
(B) It presents no evidence showing that employee-owned airlines are any more profitable than other airlines.
(C) It assumes that the profits of Mainline Airways will continue to rise.
(D) It gives no exact figures for the current profits of Mainline Airways.
(E) It fails to explain how the profits of Mainline Airways are calculated.

erdnah · Posted: Tue Aug 21, 2007 5:49 am Post subject:

Is it (A)?

Perhaps the rise in profits (8% in two years) is a result of the fact that the employees bought the company. But it can't be inferred that the rise from further rise resulted from QualiCo Advertising; it is also possible that the employees are responsible for it.

devesh · Posted: Tue Aug 21, 2007 9:42 am Post subject:

(A) It fails to establish a causal connection between the change in ownership at Mainline Airways and the hiring of QualiCo, on the one hand, and the rise in Mainline’s profits, on the other.
(B) It presents no evidence showing that employee-owned airlines are any more profitable than other airlines. No
(C) It assumes that the profits of Mainline Airways will continue to rise.
(D) It gives no exact figures for the current profits of Mainline Airways. not reqd
(E) It fails to explain how the profits of Mainline Airways are calculated. no
between A & C
it should be A

saurabh_1922@yahoo.co.in · Posted: Tue Aug 21, 2007 6:22 pm Post subject:

yes the OA is A.
perfect