• PrepScholar GMAT
    5 Day FREE Trial
    Study Smarter, Not Harder

    Available with Beat the GMAT members only code

    MORE DETAILS
    PrepScholar GMAT
  • EMPOWERgmat Slider
    1 Hour Free
    BEAT THE GMAT EXCLUSIVE

    Available with Beat the GMAT members only code

    MORE DETAILS
    EMPOWERgmat Slider
  • e-gmat Exclusive Offer
    Get 300+ Practice Questions
    25 Video lessons and 6 Webinars for FREE

    Available with Beat the GMAT members only code

    MORE DETAILS
    e-gmat Exclusive Offer
  • Veritas Prep
    Free Veritas GMAT Class
    Experience Lesson 1 Live Free

    Available with Beat the GMAT members only code

    MORE DETAILS
    Veritas Prep
  • Kaplan Test Prep
    Free Practice Test & Review
    How would you score if you took the GMAT

    Available with Beat the GMAT members only code

    MORE DETAILS
    Kaplan Test Prep
  • Varsity Tutors
    Award-winning private GMAT tutoring
    Register now and save up to $200

    Available with Beat the GMAT members only code

    MORE DETAILS
    Varsity Tutors
  • Magoosh
    Magoosh
    Study with Magoosh GMAT prep

    Available with Beat the GMAT members only code

    MORE DETAILS
    Magoosh
  • Economist Test Prep
    Free Trial & Practice Exam
    BEAT THE GMAT EXCLUSIVE

    Available with Beat the GMAT members only code

    MORE DETAILS
    Economist Test Prep
  • Target Test Prep
    5-Day Free Trial
    5-day free, full-access trial TTP Quant

    Available with Beat the GMAT members only code

    MORE DETAILS
    Target Test Prep

Morganville

This topic has 2 expert replies and 16 member replies
Goto page
  • 1,
  • 2
Next

Morganville

Post Mon Jul 14, 2008 10:51 pm
Elapsed Time: 00:00
  • Lap #[LAPCOUNT] ([LAPTIME])
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist's reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?

    Need free GMAT or MBA advice from an expert? Register for Beat The GMAT now and post your question in these forums!
    sumant1808 Junior | Next Rank: 30 Posts Default Avatar
    Joined
    05 May 2008
    Posted:
    22 messages
    Thanked:
    1 times
    Test Date:
    6th August
    Target GMAT Score:
    750
    Post Mon Jul 14, 2008 11:27 pm
    IMO B

    A)Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    Point is not related to successful campaign.

    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    Stores will have an impact only if residents of morganville do almost all of their shopping at these stores.

    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    we should focus on towns with saveall stores

    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    employment is out of scope

    E. Do newly opened SaveAll stores ever lose money during their first five years of operation
    Out of scope

    BlueRain Senior | Next Rank: 100 Posts Default Avatar
    Joined
    13 Jul 2008
    Posted:
    91 messages
    Thanked:
    1 times
    Test Date:
    08.23.2008
    GMAT Score:
    770
    Post Mon Jul 14, 2008 11:52 pm
    IMO, C.

    The "support" behind the activist argument is that SaveAll store causes bankruptcies of the existing stores, but what if the >1/4 bankruptcies rate is normal? What is the INCREASE/CHANGE in bankruptcies in a given town?

    C would provide a baseline number for comparison.

    raunekk Legendary Member Default Avatar
    Joined
    16 Apr 2008
    Posted:
    1161 messages
    Thanked:
    56 times
    Target GMAT Score:
    750+
    Post Tue Jul 15, 2008 2:11 am
    IMO: C..


    "Quater" of how much??

    NSNguyen Master | Next Rank: 500 Posts Default Avatar
    Joined
    04 May 2007
    Posted:
    401 messages
    Followed by:
    1 members
    Thanked:
    3 times
    Post Tue Jul 15, 2008 6:47 am
    premises:
    Whenever, Saveall is opened in any districts, other stores in the central district get bankruptcy.
    => to keep central stores healthy( not bankruptcy), Morganville should prevent SaveAll from opening.
    To evaluate the reasoning, we must consider how effect of SaveAll cause for central stores after opening.

    A, irre
    B, reveal the fact that most of irrelevance to the issue
    C, how if SaveAll does not open any store in the outskirt and the percentage of bankruptcy still a quarter.
    D, E, OOS,

    This reasoning contracts a fault assumption that a quarter bankcruptcy caused by SaveAll opening.
    OA: C

    _________________
    Please share your idea and your reasoning Very Happy
    http://bmnmed.com/home/
    http://nguyensinguyen.vietnam21.org

    Post Tue Jul 15, 2008 8:16 am
    OA is C

    @Ranuekk, liked ur reasoning the best, short and succint Very Happy

    I went with B Sad

    kiranlegend Master | Next Rank: 500 Posts Default Avatar
    Joined
    12 Jun 2008
    Posted:
    340 messages
    Thanked:
    6 times
    Target GMAT Score:
    800
    Post Tue Jul 15, 2008 10:01 pm
    IMO C as well..

    but couldn't understand raunek's explanation? my eagerness to find it out is due to raeahac's complimet:P

    could anyone of you please explain what did you get from 'quater of how much?' ?

    jerrykid Newbie | Next Rank: 10 Posts Default Avatar
    Joined
    27 Jun 2009
    Posted:
    8 messages
    Post Thu Jul 02, 2009 5:37 am
    I am for C.

    B:Even if a small proportion of the population do shopping at the central district, the opening of SaveAll could still negatively affect the shopping at the central district.

    C: If the normal bankruptcy rate is 25% for central shopping district stores, then the opening of SaveAll is not going to cause additional closure of central shopping district stores. Therefore, C should be most useful in evaluating the argument.

    _________________
    Beat the GMAT !!!

    walker Junior | Next Rank: 30 Posts Default Avatar
    Joined
    06 Apr 2009
    Posted:
    21 messages
    Post Thu Jul 02, 2009 7:09 pm
    between B and C

    B - is closer but.

    Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?

    The answer to this question could be
    1) YES -> doesn't evaluate the reason (within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district).

    2) NO-> doesn't evaluate the reason (within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district).



    C - 'Quarter' - what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    Makes sense

    _________________
    Also in http://gmatdarbaar.com

    BlindVision Master | Next Rank: 500 Posts
    Joined
    26 Dec 2008
    Posted:
    253 messages
    Followed by:
    1 members
    Thanked:
    8 times
    Target GMAT Score:
    700+
    Post Thu Jul 02, 2009 10:46 pm
    reachac wrote:
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist's reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?
    I would have gone with "B"...

    B) If a large percentage of residents currently do almost all of their shopping at stores in Morganville, then opening a SaveAll may hurt the healthy shopping district. In contrast, if a large percentage of residents do not do almost all of their shoppping at stores in Morganville, then opening a SaveAll may not do much harm to the shopping district.

    C) IMO there's a flaw, because what proportion of the stores in those districts suffer bankruptcy during a typical five-year period can be misleading; anything can be the cause of bankruptcies during the typical five-year period - i.e. poor management, down economy, job layoffs, etc. However, if the answer choice included the word "SaveAll" stores as the cause, like it does in the other answer choices, then I can see "C" being the answer.

    What is the source of the question?

    _________________
    Life is a Test

    ssgmatter Legendary Member Default Avatar
    Joined
    06 Jan 2010
    Posted:
    549 messages
    Followed by:
    3 members
    Thanked:
    16 times
    Test Date:
    TBD
    Target GMAT Score:
    750
    Post Tue May 18, 2010 8:12 am
    reachac wrote:
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist�s reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?
    I believe it has to be B for this one......Please explain this one in details....really very confused between B and C.....rest of the options can be easily eliminated I believe...

    Thanks!

    _________________
    Best-
    Amit

    GMAT/MBA Expert

    kevincanspain GMAT Instructor
    Joined
    22 Mar 2007
    Posted:
    613 messages
    Followed by:
    63 members
    Thanked:
    171 times
    GMAT Score:
    790
    Post Tue May 18, 2010 3:06 pm
    ssgmatter wrote:
    reachac wrote:
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist�s reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?
    I believe it has to be B for this one......Please explain this one in details....really very confused between B and C.....rest of the options can be easily eliminated I believe...

    Thanks!
    Why do you think that B is relevant?

    _________________
    Kevin Armstrong
    GMAT Instructor
    Gmatclasses
    Madrid

    Free GMAT Practice Test under Proctored Conditions! - Find a practice test near you or live and online in Kaplan's Classroom Anywhere environment. Register today!
    ssgmatter Legendary Member Default Avatar
    Joined
    06 Jan 2010
    Posted:
    549 messages
    Followed by:
    3 members
    Thanked:
    16 times
    Test Date:
    TBD
    Target GMAT Score:
    750
    Post Tue May 18, 2010 6:32 pm
    kevincanspain wrote:
    ssgmatter wrote:
    reachac wrote:
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist�s reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?
    I believe it has to be B for this one......Please explain this one in details....really very confused between B and C.....rest of the options can be easily eliminated I believe...

    Thanks!
    Why do you think that B is relevant?
    My take on B:

    If B is YES, then most of the shopping will occur in the Save all discount store, so that will affect the central shopping district.

    If B is NO, then central shopping district will survive.

    Does it make sense?

    _________________
    Best-
    Amit

    bupbebeo Master | Next Rank: 500 Posts Default Avatar
    Joined
    01 Mar 2010
    Posted:
    134 messages
    Thanked:
    3 times
    Post Tue May 18, 2010 7:12 pm
    reachac wrote:
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist�s reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?
    This is evaluate question. According to Power Score methods, we should use Variance Test to choose the right answer

    We can easily eliminate A, D, E. and I see many people confuse between B, and C. Now, let's attack B and C to see which one is better.

    Let's attack B first
    If B is Yes. customers do most of their shopping at Morganville. when SaveAll open, Morganvill may suffer bankruptcy.
    If B is No. Customers do NOT do most of their shopping at Morganvill. When Save All open, Morganville also may suffer bankruptcy.

    So even B is Yes or No, Morganvill may have suffer the same situation. This violates variance test which states that Morganville should have different situation when B has different answer. Yes or No.

    Therefore, B is not correct

    Now answer C

    If in healthy central shopping mall, in five-year period, 25 or more portion of current companies go bankruptcy, the appearance of Saveall is chance and this appearance is not a cause of bankruptcy of other businesses. therefore, the reasoning of community activist is wrong.

    Hope that helps

    ssgmatter Legendary Member Default Avatar
    Joined
    06 Jan 2010
    Posted:
    549 messages
    Followed by:
    3 members
    Thanked:
    16 times
    Test Date:
    TBD
    Target GMAT Score:
    750
    Post Sun May 30, 2010 5:22 am
    kevincanspain wrote:
    ssgmatter wrote:
    reachac wrote:
    Community activist: If Morganville wants to keep its central shopping district healthy, it should prevent the opening of a huge SaveAll discount department store on the outskirts of Morganville. Records from other small towns show that whenever SaveAll has opened a store outside the central shopping district of a small town, within five years the town has experienced the bankruptcies of more than a quarter of the stores in the shopping district.

    The answer to which of the following would be most useful for evaluating the community activist�s reasoning?

    A. Have community activists in other towns successfully campaigned against the opening of a SaveAll store on the outskirts of their towns?
    B. Do a large percentage of the residents of Morganville currently do almost all of their shopping at stores in Morganville?
    C. In towns with healthy central shopping districts, what proportion of the stores in those districts suffer bankruptcy during a typical five-year period?
    D. What proportion of the employees at the SaveAll store on the outskirts of Morganville will be drawn form Morganville?
    E. Do newly opened SaveAll stores ever lose money during their first five years of operation?
    I believe it has to be B for this one......Please explain this one in details....really very confused between B and C.....rest of the options can be easily eliminated I believe...

    Thanks!
    Why do you think that B is relevant?
    Kevin,

    Any thoughts why it cannot be B?

    _________________
    Best-
    Amit

    Best Conversation Starters

    1 lheiannie07 116 topics
    2 ardz24 64 topics
    3 swerve 63 topics
    4 LUANDATO 62 topics
    5 M7MBA 57 topics
    See More Top Beat The GMAT Members...

    Most Active Experts

    1 image description Brent@GMATPrepNow

    GMAT Prep Now Teacher

    170 posts
    2 image description EconomistGMATTutor

    The Economist GMAT Tutor

    129 posts
    3 image description Rich.C@EMPOWERgma...

    EMPOWERgmat

    122 posts
    4 image description GMATGuruNY

    The Princeton Review Teacher

    121 posts
    5 image description Scott@TargetTestPrep

    Target Test Prep

    118 posts
    See More Top Beat The GMAT Experts