Multiple choice

Directions: Analyse the statements given and choose an appropriate answer for the question that follows:

In a market study, it was observed that for their homes, people now prefer buying LCD screens to the old school CRT monitors. The drop in the sales of the CRT monitors and TV units is evidence that the future is dark for the CRT market. Last week, the telecom ministry published a tender for more than 500 computer monitors. The CRT wholesalers sending their bids are very pessimistic about getting this order.

What is the inherent, if misplaced, assumption of the CRT wholesalers?

  1. The drop in the sales of CRT monitors is not seasonal.

  2. Computers are the chief source of entertainment in many homes.

  3. The telecom ministry makes its purchases only through tenders.

  4. The preferences of the telecom ministry are similar to personal preferences for homes.

  5. CRT monitors and TV units are losing popularity in the rural market also.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The evidence is home preference, the conclusion is general. This is flawed assumption, because the requirements of the two would be quite different. This assumption is explicitly stated in (4).Only if the ministry prefers similar monitors to the ones they use at home and the general demand comes down, will the pessimism of CRT wholesalers hold water.

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