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NTS GAT - A Test No: 1 - Critical Reasoning

MCQ on NTS GAT - A - Critical Reasoning in Full Length Test with Explanation of MCQs

Topic Lesson

Entrytest MCQ No: 3 of 5

Question

The Maxilux car company's design for its new luxury model, the Max 100, included a special design for the tires. That was intended to complement the model's image. The winning bid for supplying these tires was submitted by Rubco. Analysts concluded that the bid would only just cover Rubco's costs on the tires, but Rubco executives claim that winning the bid will actually make a profit for the company.

Which of the following, if true, most strongly justifies the claim made by Rubco's executives?

AIn any Maxilux model, the spare tire is exactly the same make and model as the tires that are mounted on the wheels Read more at www.lofoya.com: http://www.lofoya.com/Verbal-Test-Questions-and-Answers/Critical-Reasoning/l1p1#ixzz51GEVyPnT
BRubco holds exclusive contracts to supply Maxilux with the tires for a number ofother models made by Maxilux.
CThe production facilities for the Max 100and thosefor thetires to be supplied by Rubco are located very near each other.
DWhen people who have purchased a carefully designed luxury automobile need to replace a worn part of it, they almost invariably replace it with a part of exactly the same make and type.
EWhen Maxilux awardedthe tire contract to Rubco, the only criterion on which Rubco's bidwas clearly ahead of its competitors' bids was price.

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