Fact 1: Television advertising is becoming less effective: the proportion of brand names promoted on television that viewers of the advertising can recall is slowly decreasing.Fact 2: Television viewers recall commercials aired first or last in a cluster of consecutive commercials far better than they recall commercials aired somewhere in the middle.Fact 2 would be most likely to contribute to an explanation of fact 1 if which of the following were also true?
Answer(s): E
The number of people diagnosed as having a certain intestinal disease has dropped significantly in a rural county this year, as compared to last year, Health officials attribute this decrease entirely to improved sanitary conditions at water-treatment plants, which made for cleaner water this year and thus reduced the incidence of the disease.Which of the following, if true, would most seriously weaken the health officials’ explanation for the lower incidence of the disease?
Answer(s): C
The price the government pays for standard weapons purchased from military contractors is determined by a pricing method called “historical costing.” Historical costing allows contractors to protect their profits by adding a percentage increase, based on the current rate of inflation, to the previous year’s contractual price.Which of the following statements, if true, is the best basis for a criticism of historical costing as an economically sound pricing method for military contracts?
Answer(s): A
Some who favor putting governmental enterprises into private hands suggest that conservation objectives would in general be better served if private environmental groups were put in charge of operating and financing the national park system, which is now run by the government.Which of the following, assuming that it is a realistic possibility, argues most strongly against the suggestion above?
A recent spate of launching and operating mishaps with television satellites led to a corresponding surge in claims against companies underwriting satellite insurance. As a result, insurance premiums shot up, making satellites more expensive to launch and operate. This, in turn, has added to the pressure to squeeze more performance out of currently operating satellites.Which of the following, if true, taken together with the information above, best supports the conclusion that the cost of television satellites will continue to increase?
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