GMAT Critical Reasoning
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Source: OG
Level: 3
The cost of producing radios in Country Q is 10 percent less than the cost of producing radios in Country Y. Even after transportation fees and tariff charges are added, it is still cheaper for a company to import radios from Country Q to Country Y than to produce radios in Country Y.
The statements above, if true, best support which of the following assertions?
- A Labor costs in Country Q are 10 percent below those in Country Y.
- B Importing radios from Country Q to Country Y will eliminate 10 percent of the manufacturing jobs in Country Y.
- C The tariff on a radio imported from Country Q to Country Y is less than 10 percent of the cost of manufacturing the radio in Country Y.
- D The fee for transporting a radio from Country Q to Country Y is more than 10 percent of the cost of manufacturing the radio in Country Q.
- E It takes 10 percent less time to manufacture a radio in Country Q than it does in Country Y.