Due to recent success, Lawton, a contractor, can be more selective than in the past regarding the types of clients he chooses to service. If he restricts his business to commercial clients and only those residential clients requiring $10,000 of work or more, he would cease doing most of the kind of residential work he currently does, which would allow him to earn a higher average proand#64257;t margin per job.Which of the following, if true, would most strengthen the conclusion that limiting his service in the manner cited would increase Lawtonandrsquo;s average proand#64257;t margin per job?a)Lawtonandrsquo;s recent success is due primarily to an upsurge in the number of residential clients he services.b)Lawtonandrsquo;s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.c)Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-proand#64257;t-margin work.d)Due to the use of a more efficient cost-accounting system, Lawtonandrsquo;s average profit margin per job has increased in each of the last three years.e)Commercial jobs typically take longer to complete than residential jobs.Correct answer is option 'C'. Can you explain this answer?

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Which of the following, if true, would most strengthen the conclusion that limiting his service in the manner cited would increase Lawton’s average proﬁt margin per job?

a)
Lawton’s recent success is due primarily to an upsurge in the number of residential clients he services.
b)
Lawton’s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.
c)
Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-proﬁt-margin work.
d)
Due to the use of a more efficient cost-accounting system, Lawton’s average profit margin per job has increased in each of the last three years.
e)
Commercial jobs typically take longer to complete than residential jobs.

Correct answer is option 'C'. Can you explain this answer?

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Due to recent success, Lawton, a contractor, can be more selective tha...

Explanation:

Significance of Residential Work Priced Under $10,000
- If residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-profit-margin work, then limiting his services to residential clients requiring $10,000 or more of work would eliminate a substantial portion of his low-profit-margin jobs.
- By focusing only on higher-priced residential projects and commercial clients, Lawton can increase his average profit margin per job, as these projects tend to be more lucrative.
Therefore, option C strengthens the conclusion that limiting his services to commercial clients and higher-priced residential projects would increase Lawton's average profit margin per job.

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Due to recent success, Lawton, a contractor, can be more selective tha...

A. Lawton’s recent success is due primarily to an upsurge in the number of residential clients he services.
This option weakens the argument because it suggests that residential clients have been a significant factor in Lawton's recent success. If residential clients have contributed to his success, limiting his service to them would not necessarily increase his average profit margin per job.

B. Lawton’s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.
This option supports the argument by indicating that commercial clients prioritize Lawton's services and would prefer him to focus on their projects rather than residential work. This suggests that by limiting his service to commercial clients and higher-value residential clients, Lawton could allocate more time and resources to projects with higher profit margins.

C. Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-profit-margin work.
This option strengthens the argument by highlighting that a significant portion of Lawton's low-profit-margin work falls below the $10,000 threshold. If limiting his service to higher-value residential clients allows him to avoid such low-profit-margin work, it would likely increase his average profit margin per job.

D. Due to the use of a more efficient cost-accounting system, Lawton’s average profit margin per job has increased in each of the last three years.
This option is not directly related to the argument about limiting his service to specific clients. While it suggests that Lawton's average profit margin has increased due to a more efficient cost-accounting system, it does not provide support for the conclusion that limiting his service would further increase the average profit margin per job.

E. Commercial jobs typically take longer to complete than residential jobs.
This option is unrelated to the argument's focus on increasing the average profit margin per job. It discusses the duration of different types of jobs but does not provide any information about the profitability or impact on Lawton's business.

Based on the analysis, option C, which highlights that a significant portion of Lawton's low-profit-margin work falls below the $10,000 threshold, most strengthens the conclusion that limiting his service to commercial clients and higher-value residential clients would increase Lawton's average profit margin per job.

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Due to recent success, Lawton, a contractor, can be more selective than in the past regarding the types of clients he chooses to service. If he restricts his business to commercial clients and only those residential clients requiring $10,000 of work or more, he would cease doing most of the kind of residential work he currently does, which would allow him to earn a higher average proﬁt margin per job.Which of the following, if true, would most strengthen the conclusion that limiting his service in the manner cited would increase Lawton’s average proﬁt margin per job?a)Lawton’s recent success is due primarily to an upsurge in the number of residential clients he services.b)Lawton’s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.c)Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-proﬁt-margin work.d)Due to the use of a more efficient cost-accounting system, Lawton’s average profit margin per job has increased in each of the last three years.e)Commercial jobs typically take longer to complete than residential jobs.Correct answer is option 'C'. Can you explain this answer?

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Due to recent success, Lawton, a contractor, can be more selective than in the past regarding the types of clients he chooses to service. If he restricts his business to commercial clients and only those residential clients requiring $10,000 of work or more, he would cease doing most of the kind of residential work he currently does, which would allow him to earn a higher average proﬁt margin per job.Which of the following, if true, would most strengthen the conclusion that limiting his service in the manner cited would increase Lawton’s average proﬁt margin per job?a)Lawton’s recent success is due primarily to an upsurge in the number of residential clients he services.b)Lawton’s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.c)Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-proﬁt-margin work.d)Due to the use of a more efficient cost-accounting system, Lawton’s average profit margin per job has increased in each of the last three years.e)Commercial jobs typically take longer to complete than residential jobs.Correct answer is option 'C'. Can you explain this answer? for GMAT 2024 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about Due to recent success, Lawton, a contractor, can be more selective than in the past regarding the types of clients he chooses to service. If he restricts his business to commercial clients and only those residential clients requiring $10,000 of work or more, he would cease doing most of the kind of residential work he currently does, which would allow him to earn a higher average proﬁt margin per job.Which of the following, if true, would most strengthen the conclusion that limiting his service in the manner cited would increase Lawton’s average proﬁt margin per job?a)Lawton’s recent success is due primarily to an upsurge in the number of residential clients he services.b)Lawton’s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.c)Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-proﬁt-margin work.d)Due to the use of a more efficient cost-accounting system, Lawton’s average profit margin per job has increased in each of the last three years.e)Commercial jobs typically take longer to complete than residential jobs.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for GMAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Due to recent success, Lawton, a contractor, can be more selective than in the past regarding the types of clients he chooses to service. If he restricts his business to commercial clients and only those residential clients requiring $10,000 of work or more, he would cease doing most of the kind of residential work he currently does, which would allow him to earn a higher average proﬁt margin per job.Which of the following, if true, would most strengthen the conclusion that limiting his service in the manner cited would increase Lawton’s average proﬁt margin per job?a)Lawton’s recent success is due primarily to an upsurge in the number of residential clients he services.b)Lawton’s commercial clients would prefer that he focus more of his time and energy on their projects and less on the concerns of his residential clients.c)Residential work for which Lawton cannot bill more than $10,000 comprises a significant proportion of his low-proﬁt-margin work.d)Due to the use of a more efficient cost-accounting system, Lawton’s average profit margin per job has increased in each of the last three years.e)Commercial jobs typically take longer to complete than residential jobs.Correct answer is option 'C'. Can you explain this answer?.

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