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by neha.patni » Mon Jul 19, 2010 3:21 am
A brand of cough syrup comes with a measuring cup attached so that customers can measure the proper dosage. A consultant has pointed out that this cup is unnecessary, since most customers have measuring cups at home. Since the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package, the consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups.

Which of the following, if true, provides the strongest evidence that the company should not follow the consultant's advice?

A. Studies have shown that customers who use cough syrup without a measuring cup frequently take either too little or too much of the medicine, rendering the dosage either ineffective or, in cases of overdose, dangerous.
B. The company has included a measuring cup with each bottle of cough syrup for the last 18 years.
C. Studies have shown that 85 percent of consumers possess at home either a measuring cup, a set of measuring spoons,
or both.
D. Many customers neglect to follow the recommended dosage of cough syrup even when the measuring cup is packaged
along with the bottle of cough syrup.
E. Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of
cough syrup bottles that can be shipped in a standard package.
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by gmatmachoman » Mon Jul 19, 2010 3:35 am
Pick A!

If the dosage is less the customers will feel Syrup is INEFFECTIVE. SO he may not buy it next time..So decreasein REPEAT BUSINESS. SO lossin revenues

If DOSAGE IS high , it is dangerous. So again Custoners will avoid becox of the dangers assuming the syrup itself to be dangerous. SO again LOSS in revenues.

Pick A..Move on!
My Learnings :
DONT STUDY from Unrecognised Source..It MAY harm ur Prep!!
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by sumanr84 » Mon Jul 19, 2010 3:45 am
IMO : E

Though I feel even marginal improvement would be categorized as improvement in GMAT and answers are usually wrong in GMATLand. But, here I feel this is the best option.
A,B and D are out-of-scope.
C - opposite

Argument is about net revenue. So, only E justifies it.
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by gmatmachoman » Mon Jul 19, 2010 3:55 am
sumanr84 wrote:IMO : E

Though I feel even marginal improvement would be categorized as improvement in GMAT and answers are usually wrong in GMATLand. But, here I feel this is the best option.
A,B and D are out-of-scope.
C - opposite

Argument is about net revenue. So, only E justifies it.

Bhai,
Most time we comply with our picked answers..First time we r Head-ON!! LOL

Ok E says "marginal improvement"..Marginal is a "relative" term"...

I amalso bit confused over E...

Plz read my comments for A.. Plz do let me know where I am wrong1
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by sumanr84 » Mon Jul 19, 2010 4:13 am
Sure..We comply mostly ;-)

I will put my reasoning for why A is not correct. A says "Incorrect dosage" but this will hold true even when you supply "measuring cups" with bottles. Since, the consultant is saying that "measuring cups" are already present at home. He bases his argument on the basis of cup availability at home. Thats why I think A is irrelevant.

But, as I said I am not 100% comfortable with E either.

I am truly in favor of your given statement : " DON'T STUDY from Unrecognized Source..It MAY harm ur Prep!! "
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by kvcpk » Mon Jul 19, 2010 4:37 am
Let me join this party :)
IMO E.

@gmatmachoman - A is wrong because it speaks about the customers of the Syrup and not about the comapny. We need to find a statement that provides the strongest evidence that the company should not follow consultant's advice. It is not given that the company cares much about consumer's health. As a company I believe, it would think about what profit it could be making out of it. [Business minded..rite :)]

So chose E.

Whats the OA anyways?
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by selango » Mon Jul 19, 2010 5:54 am
My 2 cents to option E.

Consultant states that there is no need of syrup cup,assuming that most people have their measuring cup..

Consultant advice is based on Net revenue.So the company should not follow the advice based on factor that affect this revenue.
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by DonPaw » Mon Jul 19, 2010 7:30 am
neha.patni wrote:A brand of cough syrup comes with a measuring cup attached so that customers can measure the proper dosage. A consultant has pointed out that this cup is unnecessary, since most customers have measuring cups at home. Since the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package, the consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups.

Which of the following, if true, provides the strongest evidence that the company should not follow the consultant's advice?

A. Studies have shown that customers who use cough syrup without a measuring cup frequently take either too little or too much of the medicine, rendering the dosage either ineffective or, in cases of overdose, dangerous.
B. The company has included a measuring cup with each bottle of cough syrup for the last 18 years.
C. Studies have shown that 85 percent of consumers possess at home either a measuring cup, a set of measuring spoons,
or both.
D. Many customers neglect to follow the recommended dosage of cough syrup even when the measuring cup is packaged
along with the bottle of cough syrup.
E. Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of
cough syrup bottles that can be shipped in a standard package.

I go for "A".

Assuming they want to up syrup business revenue, that could only happen if people will consume it. in A it mentions that w/o measuring cup can have its side effect on customers health and that indeed a lose. ...
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by reply2spg » Mon Jul 19, 2010 11:15 am
IMO A is the answer.

Question says to weaken consultant's advice. If you select E then company is actually following consultant's approach and straightening consultant. It is not what question is asking. Therefore, IMO A.

BTW....What is the OA?
neha.patni wrote:A brand of cough syrup comes with a measuring cup attached so that customers can measure the proper dosage. A consultant has pointed out that this cup is unnecessary, since most customers have measuring cups at home. Since the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package, the consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups.

Which of the following, if true, provides the strongest evidence that the company should not follow the consultant's advice?

A. Studies have shown that customers who use cough syrup without a measuring cup frequently take either too little or too much of the medicine, rendering the dosage either ineffective or, in cases of overdose, dangerous.
B. The company has included a measuring cup with each bottle of cough syrup for the last 18 years.
C. Studies have shown that 85 percent of consumers possess at home either a measuring cup, a set of measuring spoons,
or both.
D. Many customers neglect to follow the recommended dosage of cough syrup even when the measuring cup is packaged
along with the bottle of cough syrup.
E. Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of
cough syrup bottles that can be shipped in a standard package.
Sudhanshu
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by debmalya_dutta » Mon Jul 19, 2010 7:54 pm
I will go for A . It provides a much stronger support for the conclusion than A.

The advice given by the consultant - "consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups"

what is the evidence for the conclusion -
the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package.

And the question is " the strongest evidence that the company should not follow the consultant’s advice?"

Statement E -Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of cough syrup bottles that can be shipped in a standard package
---
Even if there is a marginal increase , it is will still improve the net revenue and there is no reason then why the company should not follow the consultant’s advice . The statement strengths / supports Consultant's advice
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by paes » Mon Jul 19, 2010 9:05 pm
IMO A :

E : Not relevant. If it can do something, it can strengthen the argument/consultant-advice. Because now, without cup, you can put more bottles in the package.
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by diebeatsthegmat » Mon Jul 19, 2010 11:32 pm
neha.patni wrote:A brand of cough syrup comes with a measuring cup attached so that customers can measure the proper dosage. A consultant has pointed out that this cup is unnecessary, since most customers have measuring cups at home. Since the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package, the consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups.

Which of the following, if true, provides the strongest evidence that the company should not follow the consultant's advice?

A. Studies have shown that customers who use cough syrup without a measuring cup frequently take either too little or too much of the medicine, rendering the dosage either ineffective or, in cases of overdose, dangerous.
B. The company has included a measuring cup with each bottle of cough syrup for the last 18 years.
C. Studies have shown that 85 percent of consumers possess at home either a measuring cup, a set of measuring spoons,
or both.
D. Many customers neglect to follow the recommended dosage of cough syrup even when the measuring cup is packaged
along with the bottle of cough syrup.
E. Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of
cough syrup bottles that can be shipped in a standard package.
i chose E for the answer
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by FightWithGMAT » Tue Jul 20, 2010 7:49 am
neha.patni wrote:A brand of cough syrup comes with a measuring cup attached so that customers can measure the proper dosage. A consultant has pointed out that this cup is unnecessary, since most customers have measuring cups at home. Since the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package, the consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups.

Which of the following, if true, provides the strongest evidence that the company should not follow the consultant's advice?

A. Studies have shown that customers who use cough syrup without a measuring cup frequently take either too little or too much of the medicine, rendering the dosage either ineffective or, in cases of overdose, dangerous.
B. The company has included a measuring cup with each bottle of cough syrup for the last 18 years.
C. Studies have shown that 85 percent of consumers possess at home either a measuring cup, a set of measuring spoons,
or both.
D. Many customers neglect to follow the recommended dosage of cough syrup even when the measuring cup is packaged
along with the bottle of cough syrup.
E. Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of
cough syrup bottles that can be shipped in a standard package.
It should be A

Why the company should not follow the consultant's advise that the measuring cup is unnecessary

Can we attack this line of reasoning----yes we can if the company find some substantial reason to prove that the cup is indeed needed to maintain the medicine's effectiveness and ultimately the company's standing...........A does it best.
Last edited by FightWithGMAT on Tue Jul 20, 2010 8:02 am, edited 1 time in total.
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by FightWithGMAT » Tue Jul 20, 2010 7:51 am
FightWithGMAT wrote:
neha.patni wrote:A brand of cough syrup comes with a measuring cup attached so that customers can measure the proper dosage. A consultant has pointed out that this cup is unnecessary, since most customers have measuring cups at home. Since the cups increase the cost of packaging the cough syrup and reduce the total number of units that can be shipped in a standard package, the consultant advises that the company can increase its net revenue on this product (total revenue minus total costs) by selling the cough syrup without the measuring cups.

Which of the following, if true, provides the strongest evidence that the company should not follow the consultant's advice?

A. Studies have shown that customers who use cough syrup without a measuring cup frequently take either too little or too much of the medicine, rendering the dosage either ineffective or, in cases of overdose, dangerous.
B. The company has included a measuring cup with each bottle of cough syrup for the last 18 years.
C. Studies have shown that 85 percent of consumers possess at home either a measuring cup, a set of measuring spoons,
or both.
D. Many customers neglect to follow the recommended dosage of cough syrup even when the measuring cup is packaged
along with the bottle of cough syrup.
E. Shipping the cough syrup bottles without the measuring cups will provide a marginal improvement in the number of
cough syrup bottles that can be shipped in a standard package.
It should be A

Why the company should not follow the consultant's advise that the measuring cup is unnecessary

Can we attack this line of reasoning----yes we can if we the company find some substantial reason to prove that the cup is indeed needed to maintain the medicine's effectiveness and ultimately the company's standing...........A does it best.
E is explaining only one aspect of the advise that the consultant made. what if the shipping cost is actually too high, even though the unit reduction is marginal....think of it
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by reply2spg » Wed Jul 21, 2010 8:38 am
neha.patni, what is the OA for this question?
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