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A prominent investor in a trading firm has alleged that stock exchanges, in a bid to generate more revenue, are tying up with trading firms and giving such firms unfair advantages over individual investors. The claim has resulted in an inquiry by the Securities and Exchange Commission (SEC). Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.  
In the above argument, which of the following functions are played by the portions in boldface?
  • a)
    The first is a judgment that challenges the position taken by the argument; the second is that position.
  • b)
    The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.
  • c)
    The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.
  • d)
    jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.
  • e)
    The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.
Correct answer is option 'D'. Can you explain this answer?
Verified Answer
A prominent investor in a trading firm has alleged that stock exchange...
Argument Analysis
Pre-Thinking
Let’s look at the relationship between the two boldface portions w.r.t. the conclusion of the argument.
The argument concludes that the inquiry will likely lead to the finding that the investor’s allegations are justified. 
As shown in the passage analysis, BF1 (ref. below) presents the position of a prominent investor.
stock exchanges, in a bid to generate more revenue, are tying up with trading firms and giving such firms unfair advantages over individual investors.
Let’s consider BF2 below:
there have been previous claims about trading firms unfairly using computer algorithms to their advantage
BF2 is a fact that provides the author’s reasoning for the conclusion. In other words, it has been used to support the conclusion of the author. Now the author’s conclusion is that the claim mentioned in BF1 will probably be proven valid. So BF 1 and the main conclusion are in the same direction.
With this understanding in mind, let's take a look at the option statements.
Answer Choices
A
The first is a judgment that challenges the position taken by the argument; the second is that position.
Incorrect – Both parts wrong
BF1 doesn’t challenge the conclusion as discussed in the pre-thinking analysis above. In the second half of this statement, “that” refers to the position mentioned in the first half, i.e. the position taken by the argument or the main conclusion. As noted in the pre-thinking analysis, BF2 is a fact, not a position that supports the main conclusion.
B
The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.
Incorrect – Both parts wrong
BF1 can be considered the conclusion drawn by the investor; however, as noted in the pre-thinking analysis, this conclusion is not disputed by the author. BF2 does provide support for the main conclusion of the argument; however, it is not a prediction. 
C
The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.
Incorrect – 2nd  part wrong
BF1 has been identified correctly. It’s the investor’s claim that the argument does not dispute. However, as observed in option (B), BF2 is not a prediction.
D
The first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.
Correct
Both boldface portions have been identified along the lines of our pre-thinking.
E
The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.
Incorrect – 1st part wrong
BF1 doesn’t provide any evidence, rather, it states the claim made by an investor. BF2 has been identified along the lines of our pre-thinking. 
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Most Upvoted Answer
A prominent investor in a trading firm has alleged that stock exchange...
Understanding the Argument
The argument revolves around an investor's allegations against stock exchanges and trading firms, suggesting unfair advantages that could harm individual investors. This leads to an inquiry by the SEC, implying that the claims might be validated due to previous issues with trading firms.
Analysis of the Boldface Portions
- First Boldface Portion: "The claim has resulted in an inquiry by the Securities and Exchange Commission (SEC)."
- This statement is a claim about the SEC's action in response to the allegations. It is not challenged within the argument, making it a straightforward assertion that supports the situation being described.
- Second Boldface Portion: "the inquiry will likely lead to the finding that the investors' allegations are justified."
- This part serves as a prediction. It suggests that the outcome of the inquiry will likely validate the investor's claims. This prediction supports the main conclusion of the argument, which is that the allegations against the stock exchanges and trading firms are credible and should be taken seriously.
Why Option D is Correct
- The first portion is indeed a claim that is not disputed in the argument, reaffirming the seriousness of the allegations.
- The second portion serves as a prediction that bolsters the main conclusion that the investors' allegations may hold validity.
Overall, the dynamic between the two portions reinforces the argument that there is a significant concern regarding fairness in trading practices. Thus, option D accurately captures the functions of the bolded portions within the argument.
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Question Description
A prominent investor in a trading firm has alleged that stock exchanges, in a bid to generate more revenue, are tying up with trading firms and giving such firms unfair advantages over individual investors. The claim has resulted in an inquiry by the Securities and Exchange Commission (SEC). Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. Can you explain this answer? for GMAT 2025 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about A prominent investor in a trading firm has alleged that stock exchanges, in a bid to generate more revenue, are tying up with trading firms and giving such firms unfair advantages over individual investors. The claim has resulted in an inquiry by the Securities and Exchange Commission (SEC). Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for GMAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A prominent investor in a trading firm has alleged that stock exchanges, in a bid to generate more revenue, are tying up with trading firms and giving such firms unfair advantages over individual investors. The claim has resulted in an inquiry by the Securities and Exchange Commission (SEC). Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. Can you explain this answer?.
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Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. 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Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. 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Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. 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Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice A prominent investor in a trading firm has alleged that stock exchanges, in a bid to generate more revenue, are tying up with trading firms and giving such firms unfair advantages over individual investors. The claim has resulted in an inquiry by the Securities and Exchange Commission (SEC). Since there have been previous claims about trading firms unfairly using computer algorithms to their advantage, the inquiry will likely lead to the finding that the investor’s allegations are justified.In the above argument, which of the following functions are played by the portions in boldface?a)The first is a judgment that challenges the position taken by the argument; the second is that position.b)The first is a conclusion that is disputed in the argument; the second is a prediction that provides support for the main conclusion of the argument.c)The first is a claim that is not disputed by the argument; the second is a prediction that provides support for the main conclusion of the argument.d)jThe first is a claim that is not disputed by the argument; the second supports the main conclusion of the argument.e)The first provides evidence supporting a conclusion stated in the argument; the second supports the author’s main conclusion.Correct answer is option 'D'. 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