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by ayushiiitm » Thu Jun 10, 2010 11:08 am
Box office receipts for independent movies for the first half of this year have increased by 20 percent over the total receipts for independent movies for all of last year. Last year, 50 independent movies were released, while so far this year only 20 independent movies have been released. The number of independent movies slated for release in the second half of this year is roughly equal to the number released so far.

If the statements above are true, which of the following must be true?

A. The total box office receipts for independent movies this year will be significantly more than 20 percent greater than the receipts for independent movies last year.

B. The number of independent movies released in the first half of this year is equal to the number released in the first half of last year.

C. The price of a movie ticket has not increased since last year.

D. The average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year.

E. The number of people seeing independent movies during the first half of this year is greater than the number who saw independent movies last year.

My take:
Since box office receipts for the first half of the year have increased by more than 20% for lesser number of movies. It is going to be more till the end of the year. Hence A

OA is D

Explanation given:
[spoiler]for A: (A) There is no way to predict box-office receipts for the year.
(D) CORRECT. The average revenue per film = total revenues ÷ number of films.[/spoiler]


Now have i really not understood what A suggests or what?
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by gmatmachoman » Thu Jun 10, 2010 11:24 am
Option A leaves us the possibilty that

1. For every independent movie released there will be box office receipts.

OR

2.It may be the case that even though 20 + independent movies are released in secon half of the year, none of the movies generated Box- office receipts.

Going by your understanding, U assumed point 1. So u opted A. That's Incorrect.

Due to some reason( say bad movies/ recession/lack of interest of audience) No Box office is receipts are generated by second half released movies, so that would negate A , becox the collections will be just 20 % greater and NOT significantly more than 20 percent greater than the receipts for independent movies last year.

D talks , in plain sense about what has already happened. No predictions of the second half release movies.

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by RumpelThickSkin » Thu Jun 10, 2010 11:47 am
Hi,

THINK Mathematically on this one.

A seems correct and sounds logicial but as the reasoning says there is no way of predicting that box office results. It could well be $0 for the rest of the year.

D is more tangible. average revenues of the independent films released during the first half of this year is greater than that of all independent films released last year. Obviously this is surely correct.

Let's say last year's revenues are 100

Average revenues for movies released for First half this year = 100 + 20 / 20

Last year's average = 100 / 50

D is the tangible and correct choice. Hope this helps.

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by ayushiiitm » Thu Jun 10, 2010 11:58 am
Thanks to Rumpel and Mac for timely reply

What I am missing here is probably that I dont clearly understand the meaning of receipts for a movie

I am from India. We dont have any such system

Are reciepts given for movies that perform above some level or what?
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