BREAKING: Target Test Prep releases Brand New 2026 On Demand GMAT prep course

Redeem

Target Test Prep · GMAT

Choose how you want to prepare

Learn live with an expert or move at your own pace. Every option includes the complete TTP study system.

★★★★★5.0559 reviews
Vote for Target Test Prep, Newsweek Readers’ Choice Awards 2026
NEWSWEEK READERS’ CHOICE 2026

BIG NEWS! Target Test Prep has been nominated, and they’d love your vote!

TTP has worked incredibly hard to build the best test prep experience possible, and winning Newsweek’s 2026 Readers’ Choice Award for Best Test Prep would mean a lot to them. If TTP has helped you, they’d be incredibly grateful for your vote. You can vote once each day through September 9.

Vote for TTP
GMATLiveTeach 7 seats left
Chris Peckover
NEXT LIVE COHORT

Oct 13 to Jan 7, 2027

with Chris Peckover

Schedule
Tue, Thu · 8:00 to 10:00 PM ET
Included
40 live hours + 6 months of GMAT OnDemand
  • Live instruction and real-time questions
  • Class recordings and assigned practice
View class & enroll
Limited cohort · enrollment openTarget Test Prep
EALiveTeach 5 seats left
Logan Thompson
EXECUTIVE ASSESSMENT

Sep 6 to Dec 6, 2026

with Logan Thompson

Schedule
Sun · 9:30 AM to 12:30 PM ET
Included
40 hours of live online classes plus six months of access to the complete TTP EA OnDemand course.
  • 165+ EA Score Guarantee
  • 4,100+ Quant, Verbal, and Integrated Reasoning practice questions
  • 400+ hours of in-depth video lessons
  • 3,000+ step-by-step video solutions
View EA class & enroll
Limited cohort · enrollment openTarget Test Prep
GMATOnDemand Start anytime
SELF-PACED MASTERCLASS

Target Test Prep GMAT OnDemand

Complete access from day one. Study on your schedule.

715+ score guarantee
$0to start then $127/mo
  • Personalized study plan and analytics
  • Thousands of lessons and practice questions

Compare the format, schedule, and included access before enrolling. Prices and seat counts shown reflect the supplied offer details.

The Tulips electronics manufacturer came out with a revamped

Expert replies
by BTGmoderatorDC » Sat Jul 27, 2019 5:51 pm

Timer

00:00

Answers

A

B

C

D

E

Stats

Difficulty

The Tulips electronics manufacturer came out with a revamped version of a radio they had once produced. The older model had excellent sound quality. The new version had a more attractive design and was fitted with a display screen. The management department was extremely pleased with the record-high sales figures produced by the new radio although the finance department claimed that the profit earned by the old radio in the same amount of time was higher by two-thirds.

Which of the following inferences is best supported by the statement made above?

A) The screen fitted to the new radios increased its production cost, resulting in a lower profit.
B) Although the new model was cheaper to produce, its marketing proved to be very expensive.
C) The revenues earned by the old model were two-thirds higher than those earned by the new model.
D) Although it had excellent sound quality, the older model cost Tulips less.
E) Even though the sales figures of the new radio were extremely high, those enjoyed by the older model had been even higher.

OA D

Source: Economist Gmat
Join the discussion
Source: — Critical Reasoning |

by deloitte247 » Thu Aug 08, 2019 8:50 am
Here, we need to find the option that best supports this statement.
Explanation: The new model radio comes with an attractive design and display screen, which makes its cost of production more than the older model. However, the profit generated by the older model is two-third more than the profit generated by the new model in the same amount of time, despite the high sales recorded for the new model radio in the same period.

OPTION A - INCORRECT
This inference is not totally true because the company recorded a massive sales from the new radios within a specified period. Other factors, such as the cost of the product or sales could be responsible for the lower profit. It's absolutely not because of the screen fitted to the new radio.

OPTION B - INCORRECT
The addition of extra features, such as design and screen will only lead to increases in the cost of production. Also, the high sales record further proved that the products are not extremely expensive but rather affordable.

OPTION C - INCORRECT
The two-third revenue increase-gap of the older model over the new model was specified for the same amount of time which the old model and new model were released respectively. It doesn't state if it is true for long-term income generation.

OPTION D - CORRECT
Yes, this expression is quite true because the older model comes with lesser features as compared to the new model, and this, in turns, makes its cost of production less for Tulips electronics.

OPTION E - INCORRECT
The statement didn't emphasize or give a satisfactory report from the purchasers of these products. So, this is not true.
Join the discussion