Welcome! Check out our free B-School Guides to learn how you compare with other applicants.
Login or Register
 

CR - Similar statement logical structure

This topic has 4 member replies
karthikpandian19 GMAT Titan
Joined
03 Nov 2011
Posted:
1665 messages
Followed by:
62 members
Thanked:
160 times
Target GMAT Score:
750
CR - Similar statement logical structure Post Tue May 29, 2012 1:02 am
Elapsed Time: 00:00
  • Lap #[LAPCOUNT] ([LAPTIME])
    Federal regulations require that corporations use separate accounting firms for audit and non-audit services. This presents difficulties for many multi-national companies because there are only four large international accounting firms based in the United States. An outspoken group of CEOs has suggested breaking up the “Big Four” firms into smaller operations, so that corporations will have more options for their accounting needs.

    Which of the following is most like the CEOs’ plan in logical structure?

    The owners of a prosperous, family-run bakery with several food preparation facilities decide to sell various buildings to local restaurants and coffee shops so that they can retire.
    A federal court rules that a communications conglomerate is in violation of anti-trust laws and must break into smaller companies to enable competition from local businesses.
    A school district superintendent writes a letter to the publisher or his district’s textbooks complaining about lack of variety and suggesting that the publisher add new divisions with different emphases to their corporate structure.
    A subsidiary of a large textile manufacturer is bought out in a hostile takeover, and its operations are changed.
    The board of a hospital decides to retain only a small number of staff physicians and to rent out remaining space to specialists in private practice.

    _________________
    Regards,
    Karthik
    The source of the questions that i post from JUNE 2013 is from KNEWTON

    ---If you find my post useful, click "Thank" Smile Smile---
    ---Never stop until cracking GMAT---

    Need free GMAT or MBA advice from an expert? Register for Beat The GMAT now and post your question in these forums!
    chetansharma Rising GMAT Star
    Joined
    09 Apr 2010
    Posted:
    57 messages
    Thanked:
    8 times
    Test Date:
    Not yet decided
    Target GMAT Score:
    730+
    GMAT Score:
    640
    Post Tue May 29, 2012 9:05 am
    IMO the answer should be C , though I am not really sure... used POE

    Regards,
    Chetan Sharma

    _________________
    If my post helped you - let me know by pushing the thanks button Wink

    Thanked by: karthikpandian19
    karthikpandian19 GMAT Titan
    Joined
    03 Nov 2011
    Posted:
    1665 messages
    Followed by:
    62 members
    Thanked:
    160 times
    Target GMAT Score:
    750
    Post Tue May 29, 2012 5:38 pm
    OA is C.

    If you can give your reasoning, it will be great
    chetansharma wrote:
    IMO the answer should be C , though I am not really sure... used POE

    Regards,
    Chetan Sharma

    _________________
    Regards,
    Karthik
    The source of the questions that i post from JUNE 2013 is from KNEWTON

    ---If you find my post useful, click "Thank" Smile Smile---
    ---Never stop until cracking GMAT---

    karthikpandian19 GMAT Titan
    Joined
    03 Nov 2011
    Posted:
    1665 messages
    Followed by:
    62 members
    Thanked:
    160 times
    Target GMAT Score:
    750
    Post Tue May 29, 2012 5:44 pm
    Inference:

    Group of CEO's suggest to break up the big four firms (but they dont have the power or authority to do so)
    By this way the corporations will have more options for their acc. needs.......Now refer below:

    karthikpandian19 wrote:
    Federal regulations require that corporations use separate accounting firms for audit and non-audit services. This presents difficulties for many multi-national companies because there are only four large international accounting firms based in the United States. An outspoken group of CEOs has suggested breaking up the “Big Four” firms into smaller operations, so that corporations will have more options for their accounting needs.

    Which of the following is most like the CEOs’ plan in logical structure?

    The owners of a prosperous, family-run bakery with several food preparation facilities decide to sell various buildings to local restaurants and coffee shops so that they can retire. ----- Owners have the authority to do, so invalid

    A federal court rules that a communications conglomerate is in violation of anti-trust laws and must break into smaller companies to enable competition from local businesses. ----- Federal court has the authority to do, so invalid

    A school district superintendent writes a letter to the publisher or his district’s textbooks complaining about lack of variety and suggesting that the publisher add new divisions with different emphases to their corporate structure. ----The School Dist. Sup. has no authority but only suggests the publisher to add new divisions - aligns with the statement

    A subsidiary of a large textile manufacturer is bought out in a hostile takeover, and its operations are changed. ----- Irrelevant

    The board of a hospital decides to retain only a small number of staff physicians and to rent out remaining space to specialists in private practice. ----- Board has the authority to do, hence invalid

    _________________
    Regards,
    Karthik
    The source of the questions that i post from JUNE 2013 is from KNEWTON

    ---If you find my post useful, click "Thank" Smile Smile---
    ---Never stop until cracking GMAT---

    Birottam Dutta GMAT Destroyer!
    Joined
    08 Jul 2009
    Posted:
    341 messages
    Followed by:
    19 members
    Thanked:
    211 times
    Test Date:
    24/04/2009
    GMAT Score:
    740
    Post Tue May 29, 2012 8:58 pm
    Let us see f we can attack this problem in a different way as well:

    Logical structure of the parent argument => As there are very few accounting firms, the CEOs suggest that the big 4 accounting firms are split into more number of firms to give more options to the corporations for their accounting needs.

    Now, let us see the options one by one:

    A)This does not have the same logical structure because the owners are selling their various business units so that they can get the money and retire peacefully. Not the same structure.

    B)The federal court rules that the communications conglomerate be broken up into slammer units because they have violated the anti-trust laws. Again, the logic behind this move is not to create options but to curb corruption.

    C) Here, the district superintendent requests the publisher to add new divisions with different emphasis to corporate structure so as to add variety into the curriculum. This seems to be the same logic as the parent argument, as the requirement here is that of variety or options.

    D) Totally out of context

    E) The action of the board ha more to do with business augmentation than increasing options so again not the same structure.

    Hence, C is correct.

    Remember, during preparation stage of the GMAT, correct understanding is always more important than correct answers. This is so because the understanding will always take you to the correct answer but the reverse may not be true Smile

    _________________
    A big thank you to Eric Bahn for making me feel like a Rockstar.
    Folks please check this out
    http://www.youtube.com/watch?v=H7p56NzAVKc

    Thanked by: ankita1709

    Best Conversation Starters

    1 varun289 42 topics
    2 guerrero 21 topics
    3 sana.noor 20 topics
    4 killerdrummer 18 topics
    5 sanaa.rizwan 14 topics
    See More Top Beat The GMAT Members...

    Most Active Experts

    1 image description Brent@GMATPrepNow

    GMAT Prep Now Teacher

    202 posts
    2 image description GMATGuruNY

    The Princeton Review Teacher

    140 posts
    3 image description Anju@Gurome

    Gurome

    113 posts
    4 image description Jim@StratusPrep

    Stratus Prep

    92 posts
    5 image description Jon@Admissionado

    Admissionado

    45 posts
    See More Top Beat The GMAT Experts