Critical Reasoning about your Money-Back Guarantee

The scales are tipped in one direction

The scales are tipped in one direction

A big, old-school test preparation company (Kaplan Inc.) recently released a statement claiming that its online GMAT course had “the most comprehensive guarantee in the industry.” The terms of its guarantee were as follows: Students who do not feel ready to take the GMAT, or who aren’t satisfied with their score improvement may retake the course for free. And students who don’t score higher on the GMAT may prep again for free or get their money back.

Given that “most comprehensive” means “most inclusive and broadest in scope,” all of the following would undermine the company’s argument EXCEPT:

(A) Knewton guarantees a 50-point improvement or a full refund, not just that students will “score higher”
(B) All Knewton students have year-long access to as many GMAT courses as they want
(C) Knewton students can retake their course or revisit their lessons no matter what they score
(D) Most students who fail to improve using the major test prep company’s course will not improve when taking that course again
(E) The major test prep company’s live online class costs more than twice as much ($1449) as Knewton’s does ($690)

Answer and full explanations after the jump.

Explanations

Choice A: Knewton offers a 50-point guarantee (out of the 800 total points on the GMAT), while the other test prep company only guarantees that students will “score higher.” This implies that Knewton’s guarantee is “broader in scope” than that of the major test preparation company, which weakens the argument.

Choice B: Since all Knewton students can access as many GMAT courses as they want for a year—not just students who meet certain conditions—Knewton’s offer is “more inclusive,” so this choice undermines the argument.

Choice C: Knewton offers its students the ability to revisit lessons, content, or even a full course no matter what they score, while the other test prep company requires a lack of score improvement, satisfaction, or readiness. Even students who do improve their scores can retake courses at Knewton, a fact that casts doubt on the major company’s claim.

Choice D: The test preparation company’s guarantee makes an assumption that students who take the course and fail to improve will improve if they can retake the same course. If the course itself is responsible for the lack of student improvement, then retaking the course is unlikely to increase the student’s score.

Choice E: While this choice provides a compelling reason for students to choose Knewton’s course over that of the major test preparation company’s, it does not specifically undermine the argument that the major test preparation company’s guarantee is “comprehensive.” Choice E is correct.

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