The proposal for our firm’s new office building

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Corporate Financial Officer: The proposal for our firm's new office building is unnecessarily extravagant, overly spacious, and ridiculously expensive. The absolute maximum budget for this project is $9 million.

Building Contractor: Our architects have redrawn the blueprints to remove the atrium and sculpture garden, and our landscape artists have reduced the complexity of the surrounding gardens. We will now be able to complete the project at one-tenth the original estimated cost.

Which of the following, if true, most undermines the soundness of the contractor's proposal to complete the project at a fraction of the original cost?

(A) The original estimated cost of the project was $100 million.
(B) The contracting firm was originally hired based on the originality of its atrium design.
(C) Corporate officers have already paid a deposit of $2 million.
(D) The firm expects to hire 100 new employees by the time the building project is completed.
(E) Architects working on the revised plans did not discard all expensive elements.

OA later some discussion

Source: gmatclub test
Source: — Critical Reasoning |

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by user123321 » Sat Dec 03, 2011 9:20 pm
IMO A

CFO says max budget is 9 million $
Building Contractor says new design is 1/10 of original estimates.

A) This weakens this by saying even after cost reduction it has crossed the CFO estimates.

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by GmatVerbal » Sat Dec 03, 2011 9:28 pm
agree. (A) --the answer;

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by tuanquang269 » Sun Dec 04, 2011 9:20 am
OA is A