Critical reasoning exercises for MBA entrance exam

Preparing for GMAT

1. Critical reasoning 1 Day 1 12.5.2024

2. Critical Reasoning Overview Each question consists of a short reading passage a single question 5 multiple choice answers 2

3. CR Directions Each of the CR questions is based on a short argument, a set of statements, or a plan of action. For each question, select the best answer of the choices given. 3

4. The Passage Three main parts to an argument Conclusion (at the beginning and end of a passage, e.g. therefore, thus, so, hence, clearly, consequently, implies, indicates that) Premises (because, since, in view of, given that, as a result of, supposing that) Assumptions (distinguish an argument’s conclusion from its premises) 4

5. The Passage (Example) In the past 10 years, advertising revenues for the magazine True Investor have fallen by 30%. The magazine has failed to attract new subscribers, and newsstand sales are down to an all-time low. Thus, sweeping editorial changes will be necessary if the magazine is to survive. Conclusion : Thus, sweeping editorial changes will be necessary if the magazine is to survive. Premises : Advertising revenue is down; there are no new subscribers; and very few people are buying the newspaper at the newsstand. 5

6. The Question After the passage Only one question per passage Read the question first , then read the passage 6

7. Basic Approach to CR Questions Identify the question Work the passage Predict what the answer should be Use process of elimination (POE) to find the answer 7

8. Question Types i . Assumption questions ii. Strengthen questions iii. Weaken questions iv. Inference questions v. Resolve/explain questions vi. Evaluate-the-argument questions vii. Identify-the-reasoning questions viii. Parallel-the-reasoning questions 8

9. Assumption Questions Unstated premise of the passage Causal assumptions (take an effect and suggest a cause for it) Analogy assumptions (compare one situation to another) Statistical assumptions (use statistics to prove its point) 9

10. Assumption Guidelines Assumptions are never stated in the passage An assumption must support the conclusion; eliminate answer choices that do not strengthen the conclusion Assumptions frequently work to fill in gaps in the reasoning of the argument Look to see if the assumption, whether it is statistical, analogical, or causal, links the evidence to the conclusion 10

11. How to Recognize Assumption Question Which of the following is an assumption on which the argument depends? The argument above assumes which of the following? The claim above rests on the questionable presupposition that… 11

12. Assumption Question (e.g.) Editorial: Our city’s public transportation agency is facing a budget shortfall. The fastest growing part of the budget has been employee retirement benefits, which are exceptionally generous. Unless the budget shortfall is resolved, transportation service will be cut, and many transportation employees will lose their jobs. Thus, it would be in the employees’ best interest for their union to accept cuts in retirement benefits. Which of the following is an assumption the editorial’s argument requires? The transportation employees’ union should not accept cuts in retirement benefits if doing so would not be in the employees’ best interest. The only feasible way for the agency to resolve the budget shortfall would involve cutting transportation service and eliminating jobs. Other things being equal, it is in the transportation employees’ interest to have exceptionally generous retirement benefits. Cutting the retirement benefits would help resolve the agency’s budget shortfall. The transportation employees’ union will not accept cuts in retirement benefits if doing so will not allow more transportation employees to keep their jobs. The correct answer is (D). 12

13. II. Strengthen Questions Strengthen an argument Deal with an argument that has a gap in its logic Like assumption question 13

14. Guidelines for Strengthen Question Strengthen the argument with new information The new information will support the conclusion of the passage. Find the conclusion in the passage, then try out each answer choice to see whether it makes the conclusion stronger. Look to see if the assumption, whether it is statistical, analogical, or causal, links the evidence to the conclusion. 14

15. How to Recognize Strengthen Question Which of the following, if true, most strengthens the author’s argument? Which of the following, if true, most strongly supports the author’s hypothesis? 15

16. Strengthen Question (e.g.) Advertisement: When your car’s engine is running at its normal operating temperature, any major brand of motor oil will protect it about as well as Tuff does. When the engine is cold, it is a different story: Tuff motor oil flows better at lower temperatures than its major competitors do. So, if you want your car’s engine to have maximum protection, you should use Tuff. Which of the following, if true, most strengthens the argument in the advertisement? Tuff motor oil provides above-average protection for engines that happen to overheat. Tuff motor oil is periodically supplied free of charge to automobile manufacturers to use in factory-new cars. Tuff motor oil’s share of the engine oil market peaked three years ago. Tuff motor oil, like any motor oil, is thicker and flows less freely at cold temperatures than at hot temperatures. Tuff motor oil is manufactured at only one refinery and shipped from there to all markets. The correct answer is (A). 16

17. III. Weaken Questions Weaken an argument Deal with unstated premises and a logical gap Like assumption questions and weaken-the-argument questions 17

18. How to Recognize Weaken Question Which of the following, if true, most seriously weaken the conclusion drawn in the passage? Which of the following indicates a flaw in the reasoning above? Which of the following, if true, would cast the most serious doubt on the argument above? 18

19. Weaken Question (e.g.) In the last few years, plant scientists have been able to genetically engineer seeds to produce crops highly resistant to insect damage. Farmers growing crops with these seeds will be able to spend significantly less on pesticides. This cost reduction would more than make up for the higher cost of the genetically engineered seeds. Clearly, therefore, farmers who grow crops from genetically engineered seeds will be able to reduce their costs by using them. Which of the following, if true, most weakens the argument? Plant scientists have not yet developed insect-resistant strains of every crop that is currently grown commercially. The cost of several commonly used pesticides is expected to rise in the next few years. Crops grown from the genetically engineered seeds require significantly more fertilizer and water to grow well than do crops grown from nonengineered seeds. In the future, the cost of genetically engineered seeds is likely to fall to the level of nonengineered seeds. The crops that now require the greatest expenditure on pesticides are not the ones for which genetically engineered seeds will become available. The correct answer is (C). 19

20. IV. Inference Questions Do not really ask you to make an inference. Inference questions often have little to do with the conclusion of the passage. Make inferences about one or more of the premises. 20

21. How to Recognize Inference Question Which of the following can be inferred from the information above? Which of the following must be true on the basis of the statements above? Which of the following conclusions is best supported by the passage? Which of the following conclusions could most properly be drawn from the information above? 21

22. Inference Question (e.g.) A company’s two divisions performed with remarkable consistency over the past three years: in each of those years, the pharmaceuticals division has accounted for roughly 20 percent of dollar sales and 40 percent of profits, and the chemicals division for the balance. Which of the following can properly be inferred regarding the past three years from the statement above? Total dollar sales for each of the company’s divisions have remained roughly constant. The pharmaceuticals division has faced stiffer competition in its markets than has the chemicals division. The chemicals division has realized lower profits per dollar of sales than has the pharmaceuticals division. The product mix offered by each of the company’s divisions has remained unchanged. Highly profitable products accounted for a higher percentage of the chemicals division’s sales than those of the pharmaceuticals division’s. The correct answer is (C). 22

23. Another Type of Inference Question Supply a conclusion rather than an inference Question (e.g. conclusion that is best supported by the passage above) 23

24. Inference Question (e.g.) Fewer elected officials are supporting environmental legislation this year than at any time in the last decade. In a study of 30 elected officials, only five were actively campaigning for new environmental legislation. This comes at a time when the public’s concern for the environment is growing by leaps and bounds. Which the following conclusions is best supported by the passage above? More elected officials are needed to support environmental legislation. Elected officials have lost touch with the concerns of the public. The five elected officials who actively campaigned for new environmental legislation should be congratulated. If the environment is to be saved, elected officials must support environmental legislation. If elected officials are truly to represent their constituents, many of them must increase their support of environmental legislation. The correct answer is (E). 24

25. V. Resolve/Explain Questions Resolve an apparent paradox Explain a possible discrepancy The passage will present you with two seemingly contradictory facts Find the answer choice that allows both of the facts from the passage 25

26. How to Recognize Resolve/Explain Question Which of the following, if true, resolves the apparent contradiction presented in the passage above? Which of the following, if true, best explains the discrepancy described above? Which of the following, if true, forms a partial explanation for the paradox described above? 26

27. Resolve/Explain Question (e.g.) A report that many apples contain a cancer-causing preservative called Alar apparently had little effect on consumers. Few consumers planned to change their apple-buying habits as a result of the report. Nonetheless, sales of apples in grocery stores fell sharply in March, a month after the report was issued. Which of the following, if true, best explains the reason for the apparent discrepancy described above? In March, many grocers removed apples from their shelves in order to demonstrate concern about their customers’ health. Because of a growing number of food-safety warnings, consumers in March were indifferent to such warnings. The report was delivered on television and also appeared in newspapers. The report did not mention that any other fruit contains Alar, although the preservative is used on other fruit. Public health officials did not believe that apples posed a health threat because only minute traces of Alar were present in affected apples. The correct answer is (A). 27

28. VI. Evaluate-the-Argument Questions Evaluate or assess part of an argument Like assumption questions Revolve around understanding the unspoken gap in the logic of an argument 28

29. How to Recognize Evaluate-the-Argument Question The answer to which of the following questions would be most useful in evaluating the significance of the author’s claims? Which of the following pieces of information would be most useful in assessing the logic of the argument presented above? 29

30. Evaluate-the-Argument Question (e.g.) Following a period of lingering malaise after a recent remarkable economic upturn in the solar-powered energy sector, Company X, a major maker of solar-powered generators, claimed that its rapid upturn resulted from the inventory still on hand in its warehouse. Which of the following, if it could be carried out, would be most useful in evaluating the company’s hypothesis as to the causes of its rapid economic upturn? Comparing the length of the economic downturn experienced by Company X to the length of the upturn later experienced by Company X Comparing the rapidity of the economic upturn for Company X to that of other major makers of solar-powered generators, which did not have inventory on hand Calculating the average sales increases within the individual business units of Company X Comparing the total number of solar-powered generator sales by Company X just before the economic upturn to the total number of solar-powered generation sales by Company X just after the economic upturn. Using economic theory to predict the most likely date of the next economic upturn for Company X. The correct answer is (B). 30

31. VII. Identify-the-Reasoning Questions Identify a method, technique, or strategy used in the passage Identify the role of a bolded phrase or sentence in the passage 31

32. How to Recognize Identify-the-Reasoning Question The bolded phrase plays which of the following roles in the argument above? The argument uses which of the following methods of reasoning? 32

33. Identify-the-Reasoning Question (e.g.) Chaco Canyon, a settlement of the ancient Anasazi culture in North America, had massive buildings. It must have been a major Anasazi center . Analysis of wood samples shows that some of the timber for the buildings came from the Chuska and San Mateo mountains, 50 miles from Chaco Canyon. Only a major cultural center would have the organizational power to import timber from 50 miles away. In the argument given, the two portions in boldface play which of the following roles? The first is a premise used to support the argument’s main conclusion; the second is the argument’s main conclusion. The first is the argument’s main conclusion; the second is a premise used to support that conclusion. The first is one of two premises used to support the argument’s main conclusion; the second is the other of those two premises. The first is a premise used to support the argument’s main conclusion; the second is a premise used to support another conclusion drawn in the argument. The first is inferred from another statement in the argument; the second is inferred from the first. The correct answer is (B). 33

34. VIII. Parallel-the-Reasoning Questions Recognize the reasoning in a passage and follow the same line of reasoning in one of the answer choices Simplify the terms 34

35. How to Recognize Parallel-the-Reasoning Question Which of the following most closely parallels the reasoning used in the argument above? Which of the following supports its conclusion in the same manner as the argument above? Which of the following is most like the argument above in its logical structure? 35

36. Parallel-the-Reasoning Question (e.g.) World-class marathon runners do not run more than six miles per day when they are training. Therefore, if you run more than six miles per day, you are not world-class. [if A, then B. If not B, then not A] Which of the following statements supports its conclusion in the same manner as the argument above? Sprinters always run in the morning. If it is morning, and you see someone running, it will not be a sprinter. Paint never dries in less than three hours. If it dries in less than three hours, it is not paint. Little league games are more fun for the parents than for the children who actually play. Therefore, the parents should be made to play. If a car starts in the morning, chances are it will start again that evening. Our car always starts in the morning, and it always starts in the evening as well. If you sleep less than four hours per night, you may be doing yourself a disservice. Studies have shown that the most valuable sleep occurs in the fifth hour. The correct answer is (B). 36

37. Thank You 37