Hotel accomodations-assumption

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Hotel accomodations-assumption

by selango » Fri Jun 25, 2010 9:57 am
Tourists have long complained that hotel accommodations in Midville are too expensive.Starting last year, the city council, hoping to attract more tourists, lowered the hotel tax rate to 5 percent of room charges. By the end of last year, Midville had taken in no less money from hotel taxes than it did the year before, so an examination of the hotel records will show that more tourists stayed in city hotels last year than the year before.Which of the following is an assumption on which the argument depends?

A. The tourists who stayed in Midville hotels last year were aware that the hotel tax rate had been lowered.
B. The average price of hotel accommodations in Midville was not significantly higher than in hotels in other cities either last year or the year before.
C. The average length of a tourist's stay in Midville hotels was not longer last year than it had been the year before.
D. There were significantly more efforts to publicize Midville as a tourist destination last year than there had been the year before.
E. On average, tourists in Midville did not spend significantly more on meals last year than they did on hotels accommodations.

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by hardik.jadeja » Fri Jun 25, 2010 10:06 am
The answer is C.

If average length of a tourist's stay in Midville hotels was longer last year, then it is possible that the hotels earned more revenues than they had in previous years, even if the number of tourists staying in the Midville hotels remained the same. If the hotels earned more revenues, then it is possible for the tax collection amount to remain same or even go up, irrespective of the fact that the government has reduced tax.

Hope that helps..
Last edited by hardik.jadeja on Fri Jun 25, 2010 10:08 am, edited 1 time in total.

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by ayushiiitm » Fri Jun 25, 2010 10:07 am
IMO C

let me know if i banged it :P

my line of reasoning

The hotel had equal revenue in both years
Since taxes were lowered.....that means either 1) more people came to stay or
2) money spent/per person was more

for 1 to be true, 2 has to be denied

C does that
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by ayushiiitm » Fri Jun 25, 2010 10:09 am
@hardik...seems we were typing at the same time :)
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by SmarpanGamt » Fri Jun 25, 2010 10:10 am
selango wrote:Tourists have long complained that hotel accommodations in Midville are too expensive.Starting last year, the city council, hoping to attract more tourists, lowered the hotel tax rate to 5 percent of room charges. By the end of last year, Midville had taken in no less money from hotel taxes than it did the year before, so an examination of the hotel records will show that more tourists stayed in city hotels last year than the year before.Which of the following is an assumption on which the argument depends?

A. The tourists who stayed in Midville hotels last year were aware that the hotel tax rate had been lowered.
B. The average price of hotel accommodations in Midville was not significantly higher than in hotels in other cities either last year or the year before.
C. The average length of a tourist's stay in Midville hotels was not longer last year than it had been the year before.
D. There were significantly more efforts to publicize Midville as a tourist destination last year than there had been the year before.
E. On average, tourists in Midville did not spend significantly more on meals last year than they did on hotels accommodations.

IMO C : Negation Method : the choice " C" weakens the argument therefore it is an assumption. The choice "E" is also tempting but does not relate to subject matter.


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by selango » Fri Jun 25, 2010 9:02 pm
OA C