Three large companies and seven small ones.--Assumption

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amysky_0205: Master | Next Rank: 500 Posts; Posts: 193; Joined: Wed Dec 05, 2012 6:53 amFollowed by: 5 members; Thanked: 4 times

by amysky_0205 » Sat Dec 29, 2012 4:34 am

Three large companies and seven small companies currently manufacture a product with potential military applications. If the government regulates the industry, it will institute a single set of manufacturing specifications to which all ten companies will have to adhere. In this case, therefore, since none of the seven small companies can afford to convert their production lines to a new set of manufacturing specifications, only the three large companies will be able to remain in business.
Which of the following is an assumption on which the author's argument relies?

A. None of the three large companies will go out of business if the government does not regulate the manufacture of the product.
B. It would cost more to convert the production lines of the small companies to a new set of manufacturing specifications than it would to convert the production lines of the large companies.
C. Industry lobbyists will be unable to dissuade the government from regulating the industry.
D. Assembly of the product produced according to government manufacturing specifications would be more complex than current assembly procedures.
E. None of the seven small companies currently manufactures the product to a set of specifications that would match those the government would institute if the industry were to be regulated.

OA: E

can someone explain this in detail?
thank u!!!!

Source: Beat The GMAT — Critical Reasoning | Sat Dec 29, 2012 4:34 am

aman88: Master | Next Rank: 500 Posts; Posts: 142; Joined: Sat Oct 20, 2012 3:31 amFollowed by: 3 members; Location: New Delhi; Thanked: 20 times

by aman88 » Sat Dec 29, 2012 10:22 am

IMO E

Approach this question by finding out the evidence and the conclusion. Then prephrase an answer and check out the answer choices. Eliminate the irrelevant ones and then run a Negation test to find the right answer.

Evidence: Three large companies and seven small companies currently manufacture a product with potential military applications. If the government regulates the industry, it will institute a single set of manufacturing specifications to which all ten companies will have to adhere.

Conclusion: Since none of the seven small companies can afford to convert their production lines to a new set of manufacturing specifications, only the three large companies will be able to remain in business.

What links them together? An assumption, that, only large companies can afford to convert their production line. Or, only large companies currently manufacture products that match govt. specifications.

Now look at the answer choices. Only choice E talks about what we have prephrased above.

To check: Negate choice E.
Some of the seven small companies can afford to convert their production lines to a new set of manufacturing specifications, only the three large companies will be able to remain in business.

After negating choice E, the conclusion falls apart. Therefore, it must be right one.

Thanks.

amysky_0205: Master | Next Rank: 500 Posts; Posts: 193; Joined: Wed Dec 05, 2012 6:53 amFollowed by: 5 members; Thanked: 4 times

by amysky_0205 » Sun Dec 30, 2012 3:47 am

aman88 wrote:IMO E

Approach this question by finding out the evidence and the conclusion. Then prephrase an answer and check out the answer choices. Eliminate the irrelevant ones and then run a Negation test to find the right answer.

Evidence: Three large companies and seven small companies currently manufacture a product with potential military applications. If the government regulates the industry, it will institute a single set of manufacturing specifications to which all ten companies will have to adhere.

Conclusion: Since none of the seven small companies can afford to convert their production lines to a new set of manufacturing specifications, only the three large companies will be able to remain in business.

What links them together? An assumption, that, only large companies can afford to convert their production line. Or, only large companies currently manufacture products that match govt. specifications.

Now look at the answer choices. Only choice E talks about what we have prephrased above.

To check: Negate choice E.
Some of the seven small companies can afford to convert their production lines to a new set of manufacturing specifications, only the three large companies will be able to remain in business.

After negating choice E, the conclusion falls apart. Therefore, it must be right one.

Thanks.

Ummm.... aman88 thank u for ur reply.

but the option E seems a little different in ur explanation.. tks

aman88: Master | Next Rank: 500 Posts; Posts: 142; Joined: Sat Oct 20, 2012 3:31 amFollowed by: 3 members; Location: New Delhi; Thanked: 20 times

by aman88 » Sun Dec 30, 2012 4:51 am

amysky_0205 wrote: Ummm.... aman88 thank u for ur reply.

but the option E seems a little different in ur explanation.. tks

Alright Amy, see, our prephrase is: Only large companies CAN afford to convert their production line. Or, only large companies currently manufacture products that match govt. specifications.

One can reword it and say, 'Small companies CANNOT afford to convert their production line. Or, small companies currently DO NOT manufacture products that match govt. specifications.'

The reworded sentence seems like choice E, right? Your prephrase might not always look exactly like the choices, and can differ person to person (because afterall it's a prephrase), but the intended meaning will and has to be the same (like in our prephrase).

I hope that answers your question.

Thanks.

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