Posted by: sayami February 12, 2006
GMAT
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. Critical Reasoning Example Directions For this type of question, select the best of the answer choices given. Question The cost of producing radios in Country Q is ten percent less than the cost of producing radios in Country Y. Even after transportation fees and tariff charges are added, it is still cheaper for a country to import radios from Country Q to Country Y than to produce radios in Country Y. The statements above, if true, best support which of the following assertions? (A) Labor costs in Country Q are ten percent below those in Country Y. (B) Importing radios from Country Q to Country Y will eliminate ten percent of the manufacturing jobs in Country Y. (C) The tariff on a radio imported from Country Q to Country Y is less than ten percent of the cost of manufacturing the radio in Country Y. (D) The fee for transporting a radio from Country Q to Country Y is more than ten percent of the cost of manufacturing the radio in Country Q. (E) It takes ten percent less time to manufacture a radio in Country Q than it does in Country Y. Answer (C)
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