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Admissions Success Stories GMAT Official Guide 2019 The city of Workney

This topic has 1 member reply

GMAT Official Guide 2019 The city of Workney

Post Tue Aug 07, 2018 6:44 pm

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The city of Workney, in raising bus fares from $1.00 to $1.25, proposed that 18 fare tokens be sold for $20.00 to alleviate the extra burden of the fare increase on the city’s poor people. Critics suggested alternatively that 9 fare tokens be sold for $10.00, because a $20.00 outlay would be prohibitive for poor riders.

The alternative proposal depends on which of the following assumptions?


A. Poor residents of Workney will continue to ride the buses in the same numbers despite the fare increase.
B. Riders who are poor would be more likely to take advantage of the savings afforded by the 9-token offer than would riders who are not poor.
C. The outlay of $10.00 for the purchase of 9 fare tokens would not be prohibitive for bus riders who are poor.
D. The proposed fare increase is needed for the purchase of new buses for the city’s bus system.
E. Fewer riders would regularly purchase 18 fare tokens at once than would purchase only 9 fare tokens at once

C

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Post Sun Aug 12, 2018 5:55 am
Option A - INCORRECT.
Since there is a mandated proposed increase in the amount of bus fare to raise fund for the purchase of new buses, the poor residents of Workney will continue to ride the buses in the same numbers despite the fare increase, but it won't be easy for them to purchase quite a number of tokens at a time.

Option B - INCORRECT.
The claim in this option is in stop of the critics suggestion that, 9 fare token be sold at $10.00. Riders who are poor would be more likely to take advantage of the savings afforded by the 9-token offer than would riders who are not poor. However, this claim has been unable to fully give adequate information about the critics assumption.

Option C - CORRECT.
This option is most suitable for the assumption of the critics proposal. The suggested critics is mostly in favor of the poor who might not be able to afford 18 fare tokens for $20.00 but with the outlay of $10.00 for the purchase of 9 fare tokens it would be more favorable and not prohibitive for bus riders who are poor. Thou, when strategically analyzing this concept the cost still remains the same but more affordable to the poor mindset.

Option D - INCORRECT.
The proposed fare increase is needed for the purchase of new buses for the city’s bus system is rightly said by the claim in this option, but does not dwell on the critics suggested alternative on how to generate the fund from all the citizens of Workney without affecting their livelihood.

Option E - INCORRECT.
Fewer riders would regularly purchase 18 fare tokens at once because they can afford it, but the critics alternative proposal depends more on how the poor can afford the fare. This is why there is a proposed alternative for the poor who can purchase only 9 fare tokens at once.

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