mgmt cat 1 # 27

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mgmt cat 1 # 27

by coolvishu11 » Sun Apr 26, 2009 6:16 pm
In the 18th and 19th centuries, it was believed in many coastal American cities that the waterfront was an undesirable location for residential buildings. As a result, much of the waterfront in these cities was never developed aesthetically and was left to industry and commerce. Today, however, waterfront properties are generally seen as prestigious, as evidenced by the large sums paid for homes along the beach front. A developer who wishes to make a large profit would be wise to buy urban waterfront lots and erect residential buildings on them.

Which of the following, if true, most strongly supports the claim made about urban waterfront properties?

a· People today have more money, relatively speaking, to spend on real estate than they did in previous centuries.
b. People will be willing to spend large sums on properties in predominantly industrial or commercial districts.

c· Many urban waterfront lots are available for purchase

d· Many coastal American cities are encouraging developers to rehabilitate the waterfront through tax incentives.

e· Properties in interior residential districts in coastal American cities are significantly more expensive than those along the waterfront.

why is b correct . d and E are very close
Source: — Critical Reasoning |

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by cramya » Sun Apr 26, 2009 6:29 pm
The argument states that in the 18th and 19th centuries waterfront locations were used for industrial and commercial purposes and it is a fair assumption that these exist today. So if people will be willing to spend large sums on properties in predominantly industrial or commercial districts then this would be the areas along the waterfront and hence a developer who wishes to make a large profit would be wise to buy urban waterfront lots and erect residential buildings on them.

It doesnt matter for what reason people buy areas along the waterfront as long as the profit is achieved by the developer.

Choose B

Regards,
CR
Last edited by cramya on Sun Apr 26, 2009 6:43 pm, edited 1 time in total.

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by cramya » Sun Apr 26, 2009 6:34 pm
Vishu,
An explanation is usually provided by MGMAT so I just wanted to ensure you were not missing out on it. It's worth giving a read. I have taken their quizzes and hence happen to know.

If u already knew this and are posting the questions on this forum to find alternate explanations, then ignore what I mentioned above.

Good luck!

Regards,
CR

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by ashley.com » Sun May 15, 2016 3:51 am
I also will choose option B