Critical Reasoning- Discrepancy question

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Critical Reasoning- Discrepancy question

by Prernasrk » Sun Nov 24, 2013 5:32 pm
can some explain what would be the correct answer to this?

For each of the past two years, major department stores have reported a nearly 50% increase in their sales 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, even Zachary, Inc. does not appear to have emerged unscathed from the overall trend: despite the aforementioned increase, Zachary, Inc. 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. Zachary, Inc. is renowned for the quality of its fabrics, and sells large quantities of fabric to other 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, the percentage of Zachary, Inc.'s clothing sold by department stores at discounted prices has been unusually high, a result that analysts have blamed on the sluggish economy.

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by David@VeritasPrep » Sun Nov 24, 2013 5:58 pm
I did some research and this is an Manhatten GMAT question.

OA C

The reason is that this answer explains why the sales of Mens clothing by Zachary could be up, while the company has reported a slight decline overall. If other men's clothing lines have been depressed and Zachary normally sells clothes to those companies this would explain the overall sales being down.

Choice A does not help since the sales are steady.

Choice B is about expenses (and profits) not about overall sales

Choice D is very tempting but this is something that occurred THREE YEARS AGO. And would not explain a decline each of the last two years. The big decline should have been 3 years ago.

Choice E is also tempting but you have to remember that the stimulus says that major department stores have had an increase in sales of Zachary mens clothing so this fact must already be factored in to the overall 50% increase mentioned in the stimulus.

Does that help?
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