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CR OG Q111

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CR OG Q111

by shipra » Thu Jun 19, 2008 6:40 pm
Sales of telephones have increased dramatically over the last year. in order to take advantage of this increase, Mammoth industries plans to expand production of its own model of telephone, while continuing its already very extensive advertising of this product.
which of the following if true, provides most support for the view that Mammoth industries cannot increase its sales of telephones by adopting the plan outlined above?
a. although it sells all the telephones it produces, Mammoth's shares of all telephone sales has declined over the last year.
b. mammoth industries' average inventory of telephones awaiting shipment to retailers has declined slightly over the last year.
c. advertising has made the brand name of Mammoth industries' telephones widely known, but few customers know that Mammoth industries owns this brand.
d. Mammoth industries' telephone is one of the 3 brands of telphone that have together accounted fr the bulk of last year increase in sales.
e. despite a slight decline in the retail price, sales of Mammoth industries' telephones have fallen in the last year.
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by albertrahul » Thu Jun 19, 2008 9:40 pm
IMO E.

A. talks about company's share of all telphone sales, out of scope.
B. Out of scope for me.
C. Irrelevant, out of scope.
D. I think this actually says that company is going to have more sales this year.
E. If sales were low even when prices were low, there's little chance that sales will increase if production is increased, so I'll go with this option.

What is OA?
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by pranavc » Fri Jun 20, 2008 5:09 am
I'm going with E. What is the OA?
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by lvincy » Fri Jun 20, 2008 8:43 am
I will go for A

The assumption here is The telephone sales of Mammoth also increased last year with overall sales of telephones.
Only A proves this assumption wrong and support mammoth industry cannot increase its sale.


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by agent47 » Tue Jun 24, 2008 9:13 pm
I will also go for A cuz

Sales of telephones have increased dramatically over the last year and they are planning to expand their production this means that they are selling what they have and it is expected that all the telephones will be sold out as well... But if there is decline in sales then it doest make any sense for the company to make more telephones hence "A" is best :P
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by suchit » Tue Jun 24, 2008 10:42 pm
Option A does not justify why Mammoth industries cannot increase its sales of telephones as it talks abt market share and also mentions that it sells all the phones it produces.

Therefore E is the only option. Whats the OA ?
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by agent47 » Tue Jun 24, 2008 11:57 pm
OA is "E" I have just checked
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by NSNguyen » Wed Jun 25, 2008 11:10 pm
The stem misleading the reader that increase in sales of telephone assump that sales of Mammoth telephones also increase.
A, out of scope
B, out of scope
C, Irreleviance
D, IRR
E, weaken,

I go with E
Please share your idea and your reasoning :D
https://bmnmed.com/home/
https://nguyensinguyen.vietnam21.org
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by newera » Thu Jun 26, 2008 5:38 am
I go with E.

We're trying to say that continued advertizing and increased phone production won't make sales higher...the question is why?

I think albertrahul explained it best. Generally low price should equate to higher sales...but if this doesn't work, then forget it. its a lost cause for this company.

A focuses on shares of phones while we're more interested in sales.
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by john83.amar » Wed May 11, 2016 4:51 am
Option E looks good than other answers
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