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Prep CR T2-20

Expert replies
by kaijen » Sat Sep 22, 2007 8:00 pm
Test2-20. (27836-!-item-!-188;#058&003666)

During the past year, Pro-Tect Insurance Company's total payout on car-theft claims has been larger than the company can afford to sustain. Pro-Tect cannot reduce the number of car-theft policies it carries, so it cannot protect itself against continued large payouts that way. Therefore, Pro-Tect has decided to offer a discount to holders of car-theft policies whose cars have antitheft devices. Many policyholders will respond to the discount by installing such devices, since the amount of the discount will within two years typically more than cover the cost of installation. Thus, because cars with antitheft devices are rarely stolen, Pro-Tect's plan is likely to reduce its annual payouts.

In the argument above, the two portions in boldface play which of the following roles?

(A) The first and the second are both evidence offered by the argument as support for its main conclusion.
(B) The first presents a problem a response to which the argument assesses; the second is the judgment reached by that assessment.
(C) The first is the position the argument seeks to establish; the second is a judgment the argument uses to support that position.
(D) The first is a development that the argument seeks to explain; the second is a prediction the argument makes in support of the explanation it offers.
(E) The first presents a development whose likely outcome is at issue in the argument; the second is a judgment the argument uses in support of its conclusion about that outcome.




Pro-Tect cannot reduce the number of car-theft policies it carries, so it cannot protect itself against continued large payouts that way.

What does"that way" refer to?
car-theft claims has been larger than the company can afford to sustain?
or
reduce the number of car-theft policies it carries?

thx
Join the discussion
Source: — Critical Reasoning |

by arocks » Sat Oct 06, 2007 11:27 am
I think "that way" refers to -
reduce the number of car-theft policies it carries?

My answer is B. What is the Official Answer?
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by bhumika.k.shah » Fri Jan 08, 2010 3:04 am
the OA is A
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by Stuart@KaplanGMAT » Fri Jan 08, 2010 4:15 am
bhumika.k.shah wrote:the OA is A
The answer has to be "B", not "A".

In bolded statement questions, the first thing we always want to do is find the main conclusion and see if either bolded statement plays that role.

The last sentence (i.e. the second bolded statement) is definitely the main conclusion of the argument, so we should scan the choices to see what they say about bolded statement #2.

Only (B) uses language that indicates that the second bolded statement is the main point, so we can eliminate A, C, D and E without even looking at the first bolded statement; A, C, D and E all refer to the second bolded statement as some kind of "support".
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by kaulnikhil » Fri Jan 08, 2010 12:25 pm
kaijen wrote:Test2-20. (27836-!-item-!-188;#058&003666)

During the past year, Pro-Tect Insurance Company's total payout on car-theft claims has been larger than the company can afford to sustain. Pro-Tect cannot reduce the number of car-theft policies it carries, so it cannot protect itself against continued large payouts that way. Therefore, Pro-Tect has decided to offer a discount to holders of car-theft policies whose cars have antitheft devices. Many policyholders will respond to the discount by installing such devices, since the amount of the discount will within two years typically more than cover the cost of installation. Thus, because cars with antitheft devices are rarely stolen, Pro-Tect's plan is likely to reduce its annual payouts.

In the argument above, the two portions in boldface play which of the following roles?

(A) The first and the second are both evidence offered by the argument as support for its main conclusion.
(B) The first presents a problem a response to which the argument assesses; the second is the judgment reached by that assessment.
(C) The first is the position the argument seeks to establish; the second is a judgment the argument uses to support that position.
(D) The first is a development that the argument seeks to explain; the second is a prediction the argument makes in support of the explanation it offers.
(E) The first presents a development whose likely outcome is at issue in the argument; the second is a judgment the argument uses in support of its conclusion about that outcome.




Pro-Tect cannot reduce the number of car-theft policies it carries, so it cannot protect itself against continued large payouts that way.

What does"that way" refer to?
car-theft claims has been larger than the company can afford to sustain?
or
reduce the number of car-theft policies it carries?

thx
cant Therefore, Pro-Tect has decided to offer a discount to holders of car-theft policies whose cars have antitheft devices. be the conclusion ?? thus both parts support this conclusion
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by unprez » Mon Nov 21, 2011 8:53 am
By using the word 'likely' in the second bold, doesn't mean that it is no longer a judgement rather a prediction similar to D?
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