For each of the past two years, major department stores have reported a nearly 50% increase in their revenue generated from the sale of men's clothing manufactured by Zachary, Inc., a result that is all the more surprising because the sales of most other brands of men's clothing have been depressed over the same period. Nevertheless, Z.A.C., the parent company of Zachary Inc, does not appear to have emerged unscathed from the overall trend of decreased sales in the industry: Z.A.C. has reported a slight decline in overall sales in each of the past two years.
Which of the following, if true, most helps to explain the surprising result above?
A). The sales of clothing at Zachary, Inc.'s boutique stores, which, unlike department stores, are owned and operated by the company itself, have held steady over the last two years.
B). Two years ago, Zachary, Inc. began an ambitious new advertising campaign; in each of the last two years, the company's advertising department has overspent its planned budget by almost half.
C). Z.A.C. is renowned for the quality of its fabrics, and sells large quantities of fabric to a variety of manufacturers of men's clothing.
D). Zachary, Inc. formerly manufactured leather accessories and women's clothing in addition to men's clothing, but, for the past three years, the company has produced only men's clothing.
E).In the last two years, Z.A.C., in addition to maintaining its prior business ventures, expanded into two new markets, neither of which has been particularly profitable thus far.
Why is option E wrong.Please suggest
Which of the following, if true, most helps to explain the surprising result above?
A). The sales of clothing at Zachary, Inc.'s boutique stores, which, unlike department stores, are owned and operated by the company itself, have held steady over the last two years.
B). Two years ago, Zachary, Inc. began an ambitious new advertising campaign; in each of the last two years, the company's advertising department has overspent its planned budget by almost half.
C). Z.A.C. is renowned for the quality of its fabrics, and sells large quantities of fabric to a variety of manufacturers of men's clothing.
D). Zachary, Inc. formerly manufactured leather accessories and women's clothing in addition to men's clothing, but, for the past three years, the company has produced only men's clothing.
E).In the last two years, Z.A.C., in addition to maintaining its prior business ventures, expanded into two new markets, neither of which has been particularly profitable thus far.
Why is option E wrong.Please suggest
