electronic book-keeping software

Expert replies

Gaurav 2013-fall: Master | Next Rank: 500 Posts; Posts: 307; Joined: Wed Feb 22, 2012 9:45 pm; Thanked: 12 times; GMAT Score:700

by Gaurav 2013-fall » Mon Apr 23, 2012 2:13 am

Most businesses have switched at least partially from tracking their cash flow by hand on paper ledgers to using electronic bookkeeping software that performs computations much more quickly than they can be performed manually. Therefore, it is clear that less time is being spent on bookkeeping at the companies that are using the software than would have been spent if these companies had retained the older systems.

Which of the following, if true, most strengthens the argument above?

Most of the businesses that have at least partially switched to the new electronic systems have improved their productivity.

The amount of time needed to maintain the new electronic bookkeeping systems and train employees to use them is less than the amount of time that would have been required to perform computations using the older manual methods.

It takes less time to produce and distribute the new software systems than it takes to produce and distribute paper bookkeeping ledgers.

Many of the businesses that have at least partially switched to the new electronic systems still keep paper records of many of their financial transactions.

More computers are required by those businesses that have switched to the new electronic systems than by those businesses that have not switched.

OA is B. please explain how B is stronger than A

Source: Beat The GMAT — Critical Reasoning | Mon Apr 23, 2012 2:13 am

bubbliiiiiiii: Legendary Member; Posts: 979; Joined: Tue Apr 14, 2009 1:38 amFollowed by: 12 members; Location: Hyderabad, India; Thanked: 49 times; GMAT Score:700

by bubbliiiiiiii » Mon Apr 23, 2012 2:27 am

Even I picked A

Not sure how reduced time required to maintain electronic book keeping systems is related to maintaining book systems electronically!

Looking forward for an experts advise.

Regards,

Pranay

GmatKiss: Legendary Member; Posts: 2789; Joined: Tue Jul 26, 2011 12:19 amFollowed by: 43 members; Location: Chennai, India; Thanked: 206 times; GMAT Score:640

by GmatKiss » Mon Apr 23, 2012 4:55 am

Most of the businesses that have at least partially switched to the new electronic systems have improved their productivity.

The amount of time needed to maintain the new electronic bookkeeping systems and train employees to use them is less than the amount of time that would have been required to perform computations using the older manual methods. (IMPROPER COMPARISON)

IMO: A

Experts please help out

bryan88: Master | Next Rank: 500 Posts; Posts: 120; Joined: Mon Nov 07, 2011 10:54 pm; Location: Delhi; Thanked: 5 times

by bryan88 » Fri Apr 27, 2012 10:54 pm

Suppose-I am introducing a new technology in my company, which does manual calculations/accounts faster. I bring in this technology with the intention that "work is done faster". However if the technology is really complex i will have to spend ample amount of time just to train my employees to use it. Hence, this ruins my plans that things will move faster.
If in anyway i can be assured that this transition time will not be significant and cumbersome , i would definitely introduce the technology.

Option B reassures me.

vk_vinayak: Legendary Member; Posts: 502; Joined: Tue Jun 03, 2008 11:36 pmFollowed by: 21 members; Thanked: 99 times

by vk_vinayak » Sat Apr 28, 2012 10:28 am

Straight B for me.

Conclusion: Companies with software spend less time at booking than do companies with manual bookkeeping.

A) Productivity increased - Productivity could have been increased because of other tasks that have improved dramatically to consume very less amount of time. Increased productivity may not necessarily be due to the new software.

B). Less time taken by training and software operations - From the argument we know that software performs operations quickly than performed manually. So, if it takes less time, to train and maintain the software, than to perform manually, this option is clearly strengthening the claim.

- VK

I will (Learn. Recognize. Apply)

vikram4689: Legendary Member; Posts: 1325; Joined: Sun Nov 01, 2009 6:24 amFollowed by: 14 members; Thanked: 105 times

by vikram4689 » Sat Apr 28, 2012 9:59 pm

IMO B,

Reason why A is incorrect rests on realizing the meaning of productivity.
A says - Most of the businesses [that have at least partially switched to the new electronic systems have] improved their productivity
Productivity of company depends on the ALL the employees working the company and, obviously, it cannot be affected only by few employees working in accounts dept.

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ice_rush: Master | Next Rank: 500 Posts; Posts: 341; Joined: Sun Mar 25, 2012 6:59 pmFollowed by: 4 members; Thanked: 17 times; GMAT Score:720

by ice_rush » Sun Apr 29, 2012 7:27 pm

The conclusion is that less time is being spent on bookkeeping at the companies that are using the software

The conclusion does NOT mention anything about productivity.

(B) looks fine.

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