GMAC GMAC Critical Reasoning 1 — Questions and Answers
Question 1: A GMAT Critical Reasoning argument states: 'All employees who meet their targets receive bonuses. Jane received a bonus.' Which conclusion is valid?
- Jane met her targets
- Jane exceeded her targets
- Jane is the top performer
- Jane may or may not have met her targets (Correct answer)
Correct answer: Jane may or may not have met her targets
The argument does not state that bonuses are given ONLY to employees who meet targets, so Jane could have received a bonus for another reason.
Question 2: Which of the following, if true, most weakens the argument: 'Since the city installed more streetlights, crime has dropped 20%. Therefore, streetlights reduce crime.'?
- The city also increased police patrols during the same period (Correct answer)
- Streetlights are expensive to maintain
- Crime dropped only in well-lit areas
- Residents reported feeling safer after the lights were installed
Correct answer: The city also increased police patrols during the same period
If police patrols also increased simultaneously, they could be the real cause of the crime drop, weakening the causal claim.
Question 3: An argument concludes that a new drug is safe because no side effects appeared in a 2-week trial. The biggest flaw in this reasoning is:
- The trial was too short to detect long-term side effects (Correct answer)
- The drug company funded the study
- No placebo group was used
- Side effects were self-reported
Correct answer: The trial was too short to detect long-term side effects
Two weeks is insufficient to identify long-term or delayed side effects, making the safety conclusion premature.
Question 4: 'Most successful entrepreneurs dropped out of college. Therefore, dropping out of college increases one's chance of entrepreneurial success.' This argument commits which error?
- Confusing correlation with causation (Correct answer)
- Hasty generalization
- False dilemma
- Circular reasoning
Correct answer: Confusing correlation with causation
The argument incorrectly infers that dropout status causes success rather than recognizing it as a correlated trait.
Question 5: Which of the following best strengthens the argument: 'Employees who work from home are more productive than those in the office'?
- A study shows home workers complete 13% more tasks per day (Correct answer)
- Some employees prefer the office environment
- Home workers have fewer meetings
- Home workers save commute time
Correct answer: A study shows home workers complete 13% more tasks per day
Empirical data showing higher task completion directly supports the productivity claim.
Question 6: 'Either we increase the marketing budget or sales will decline.' Which assumption does this argument rely on?
- No other factors can prevent a sales decline (Correct answer)
- Increasing the budget guarantees sales growth
- Sales have already been declining
- Marketing is the only department with a budget
Correct answer: No other factors can prevent a sales decline
The either/or structure assumes no other action (like improving the product or cutting price) could maintain sales.
GMAC GMAC Critical Reasoning 1
A GMAT Critical Reasoning argument states: 'All employees who meet their targets receive bonuses.
Jane received a bonus.' Which conclusion is valid?