Question # 1

During 1999, advertising expenditures on canned food products increased by 20 percent, while canned food consumption rose by 25 percent.

Each of the following, if true, could help explain the increase in food consumption except:

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Advertising effectiveness increased.

Canned food prices decreased relative to substitutes.

Canned food products were available in more stores.

Can opener production doubled.

Per-capita consumption of frozen foods declined.

Opponents of the new legislation could defend themselves against the author's strategy by arguing that:

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the fact that past trade legislation improved the trade balance does not mean that the present bill will do the same.

economists are not always right.

the united states had a trade deficit both in the 1930s and at the time of the new bill.

the new law is not as strong as the 1930s bill.

America's trading partners have also passed similar legislation.

Ira is taller than Sam.

Elliot is taller than Harold.

Harold is shorter than Gene.

Sam and Gene are of the same height.

If the above is true, which of the following conditions, must also be true?

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Elliot is taller than Gene

Elliot is taller than Ira

Sam is shorter than Elliot

Ira is taller than Harold

Sam is shorter than Harold

Every town with a pool hall has its share of unsavory characters. This is because the pool hall attracts gamblers and all gamblers are unsavory.

Which of the following, if true, cannot be inferred from the above ?

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All gamblers are unsavory,

All pol halls attract gamblers.

Every town has unsavory characters.

All gamblers are attracted by pool halls.

An explanation of what attracts gamblers.

The director of the customs service suggested that customs taxes on automobiles not be reduced as planned by the government because of the high incidence of traffic accidents last year.

Which of the above statements weakens the argument above ?

1. Although the traffic accident rate last year was high, it was not appreciably higher than previous years and anyway, compulsory insurance covered most physical damage to automobiles and property.

2. A Commerce Department report showed that the demand for automobiles was highly inelastic. That is, as dealers lowered their prices, sales did not increase appreciably.

3. A study by the Economics Department at Classics University found that most traffic accidents had been caused by human error although it also concluded that an inadequate road network contributed to at least 40 percent of passenger injuries.

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I, but not II and not III.

II, but not I and not III.

I and III, but not II.

II and III, but not I.

I, II and III.

The burning of coal, oil, and other combustible energy sources produces carbon dioxide, a natural constituent of the atmosphere. Elevated levels of carbon dioxide are thought to be responsible for half the greenhouse effect. Enough carbon dioxide has been sent into the atmosphere already to cause a significant temperature increase. Growth in industrial production must be slowed, or production processes must be changed.

Which of the following, it true, would tend to weaken the strength of the above conclusion ?

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Many areas of the world are cold anyway, so a small rise in temperature would be welcome.

Carbon dioxide is bad for the health.

Most carbon dioxide is emitted by automobiles.

Industry is switching over to synthetic liquid fuel extracted form coal.

A shift to other energy sources would be too costly.

If we are doomed to have local drug rehabilitation centers - and society has determined that we are - then society ought to pay for them.

Which of the following, if true, would weaken the above argument ?

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Drug rehabilitation centers are too expensive to be locally funded.

Many neighborhood groups oppose rehabilitation centers.

Drug rehabilitation centers are expensive to maintain.

Drug addicts may be unwilling to receive treatment.

A government committee has convinced many groups that local rehabilitation centers are ineffective

Forty years after African colonies began emerging as nations, modern loyalties still often go first to the tribe. From Angola to Ethiopia, ethnic hatred has forced hundreds of thousands of people to flee their homes, making Africa the continent with the world's largest number of refugees.

Which of the following statements best summarizes the above ?

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Africa is best characterized ethnic fractionalization.

Angola and Ethiopia have the worst record of inter ethnic strife in Africa.

Continued warfare has made Africa a nation of refugees.

Africa is best characterized as a federation of many states.

Africa is best characterized as a continent without loyalties.

An economist was quoted as saying that the Consumer Price Index (CPI) will go up next month because of a recent increase in the price of fruit and vegetables.

Which of the following cannot be inferred from the statement ?

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The cost of fruits and vegetables has risen sharply.

Consumers have decreased their consumption of fruits and vegetables.

The cost of fruit and vegetables is a major item in the CPI.

Food cost changes are reflected quickly in the CPI.

Other items that make up the CPI have not significantly decreased in price.

Ali is a terrible driver. He has had at least five traffic violations, int he past year.

Which of the following can be said about the above claim ?

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This is an example of an argument that is directed against the source of the claim rather than the claim itself.

The statement is fallacious because it contains an illegitimate appeal to authority.

The above argument obtains its strength from a similarity of two compared situations.

The argument is built upon an assumption that is not stated but rather is concealed.

In the above statements, there is a shifting in the meaning of terms, causing a fallacy of ambiguity.

Many countries are facing a potential crisis in 20 to 30 years time. The ratio of pensioners to workers will be changing drastically with a declining birth rate, with more lengthy education of the young, and with a reduced working life. In general, the number of people paying into pension schemes is decreasing all the time. Meanwhile, with increased health care and living standards, more people are living long enough to draw their pension funds.

A controversial solution to this problem has been proposed in Germany-changing the age of retirement, for both men and women, from the current qualifying age of 63 for men and 60 for women.

A radical, but socially acceptable, solution to this problem must be found. If this is not done, it is predicted that by the year 2050, one person in three will be 65 or over and the projected work force will be unable to support pensions.

Assuming the following were all socially acceptable, which one would not improve the situation in the future ?

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Lower the retirement age.

Decrease the school-leaving age.

Impose larger contributions on employees and employers.

Cut pensions in half.

Only give state pensions to retired persons whose income in below a certain level.

In winning its bitter, protracted battle to acquire Blue Industries, Inc., Belle industries has fulfilled its goal to lessen its reliance on tobacco holdings, while the $5.2 billion deal may spur more takeover activity in the insurance industry, analysts said.

Which of the following can be inferred from the passage?

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Blue Industries is in the tobacco industry.

Belle industries is in the insurance business.

Blue Industries is in the insurance business.

More divestment takes place in the tobacco industry than in the insurance industry.

More divestment takes place in the insurance industry than in the tobacco industry.

Typically, the entrepreneur is seen as an individual who owns and operates a small business. But, simply to own and operate a small business-or even a big business-does not make someone an entrepreneur. If this person is a true entrepreneur, then new products are being created, new ways of providing services are being implemented.

Which of the following conclusions can best be drawn from the above passage?

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An owner of large business may be an entrepreneur.

Someone who develops an enterprise may be considered an entrepreneur.

Entrepreneurs do not own and operate small businesses.

Entrepreneurs are the main actors in economic growth

Entrepreneurs are inventors.

The Monopoly is characterized by absence of or decline in competition. The ABC Company realizes that its operations are in competitive industries.

Which of the following conclusions may be inferred form the above ?

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ABC market is not monopolistic.

Monopoly is defined as one seller in a market.

The ABC Company has no domestic competitors.

The ABC company is publicly owned.

The ABC Company is in a service industry.

Professor Bilal had the task of giving grades (ranging from A - D in descending value) to her 100 students, based upon the marks they received in three examinations in which the passing mark was 50%. She was instructed to follow the following criteria:

i. All students that scored between 90 and 100% in any two examinations could receive an A grade.

ii. Students that came in the top decile overall were to be awarded an A.

iii. Notwithstanding I and II, if any student failed an exam, the highest he or shed could get was a b.

iv. The top 20 students in the whole year, when the overall exam percentages were averaged, could receive an A.

Given the above criteria, which of the following in the absence of further information, would definitely not be permissible ?

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A. Brown, who got 95% in Chemistry and 95% in Biology, received a B grade.

B. White, who was first in Physics and got 96% in History, received a B grade.

C. Green failed English, but because he ranked ninth overall out of the 100 students, he was awarded an A grade.

D. Black was given an A after she came twentieth out of the 100 students and failed to get above 90% in any of the three examinations.

E. Gray failed his Math exam, but came top in his other two tests and was awarded a B.

Prompted by proposal to convert a shipyard into a complex of condominiums with full-service marina and boat repair center and by concern about the proposal from local residents, baymen, and environmentalists, the town is considering a one-year building moratorium for the water front area.

Which of the following, if true, would most seriously weaken opposition to the complex ?

Choose an answer

Condominiums would sell for $350,000 each.

There is a large demand for boat repair services.

A growing population results in the closure of shellfish.

There are already 1,200 moorings on the waterfront.

The shipyard may be sold for another commercial use.

The movement to ownership by unions is the latest step in the progression form management ownership to employee ownership. Employee ownership can save depressed and losing companies. All the following statements, if true, provide support for the claim above except:

Choose an answer

Employee-owned companies generally have higher productivity.

Employee participation in management raises morale.

Employee union ownership drives up salaries and wages.

Employee union ownership enables workers to share in the profits.

Employee union ownership makes it easier to layoff redundant workers.

Pioneers of the motor-car industry realized that if they were going to meet the growing demand for their product, they had to adapt the labor force used in the productive process. Instead of many men working to complete all the stages of one car at a time, they assigned defined tasks to each man which they would repeat on every car.

Which of the following can be concluded form the passage ?

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Early motor car manufacturers intended to increase productivity by applying the principle of division of labor.

The car workers became disgruntled because they were assigned monotonous, repetitive tasks on the assembly line.

Economies of scale enabled early motor companies to expand.

A bad worker would perform the same task badly on each car, leading to many more rejects.

The new production process enabled certain car workers to become specialists in the part of the process to which they were assigned.

A local garbage disposal company increased its profitability even though it reduced its prices in order to attract new customers. This was made possible through the use of automated trucks, thereby reducing the number of workers needed per truck. The company also switched from a concentration on household hauling to a concentration on commercial hauling. As a result of its experience, company management planned to replace all their old trucks and increase the overall size of the truck fleet, doubling hauling capacity.

The company's plan as outlined above, takes into consideration each of the following except:

Choose an answer

Commercial clients have more potential than household customers.

The demand for garbage removal services is sensitive to price.

Demand for garbage removal services would increase in the future.

Doubling of capacity would not encessitate; a substantial increase in the work force.

Doubling of capacity would not cause bottlenecks, leading to a decrease in productivity.

Ever since I arrived at the college last week, I ve been shocked by the poor behavior of students and the unfriendly attitude of the towns-people, but the professors are very erudite and genuinely helpful. Still, I wonder if i should have come here in the first place.

Which of the following, if true, would weaken the above conclusion ?

Choose an answer

Professors are not always helpful to students.

The college numbers over 50,000 students.

The college is far from the student's home.

Not all professors have doctorates.

The narrator was unsure of staying at the college.

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