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Answer choices C and D weaken the analyst’s argument. Answer choice E is irrelevant, because we do not know how the analyst believes Company A’s stock will perform in comparison to its industry peer group over the next 5 to 7 years. It’s possible that the analyst does not expect Company A to remain the leader for very long, so we cannot assume he expects it will outperform the sector. Choice B is not conclusive because it indicates the patent is on a new product and we do not know if the patent is for a product consumers will demand. Answer choice A is the best one available. If the revenues increase and the expenses decrease, then the company can significantly increase its profits and be more likely to enjoy a high stock price appreciation rate.
Answer choices D and E actually strengthen the argument – which is the opposite of what the question asks you to do. Answer choice C is completely irrelevant to the argument. Acme could still be the best product, even if most people don’t intend to use it. Answer choice A certainly does not bode well for the quality of Acme’s aspirin, but it is nonetheless possible that competing brands are even more addictive. Answer choice B is correct. It weakens the passage’s argument by providing a reason that people called might have been biased, thus undercutting its implied assumption that a sample of 10 people will produce unbiased results.
Answer choice E can be easily, directly, and correctly inferred from the statement that the dogs bark and howl every time their owner lets them outside. The rest of this passage is “decoy” material, as discussed in the preparation techniques and tips webpage. You may have noticed 2 other techniques employed by the GMAT writers in this question. The first trick is to have an unqualified authority comment on a controversy. In this case, we have no reason to believe a CPA would be an expert on canine behavior. Since we have no reason to believe the CPA’s analysis is correct, there is no support for choice D. The second trick is to present extreme or emotionally loaded statements. Answer choice A is too extreme to be a correct answer choice on the GMAT.
Choice D is correct because it neatly summarizes the main theme of the passage. We can instantly eliminate answer choice A because the passage never states how the increased penalty affects citizens. Choice B is too extreme, and overly negative. (Such answer choices are rarely correct on the GMAT.) Besides, the overall theme of the passage is positive; the negative tone of choice B is out of keeping with it. Answer choice C is incorrect because the author stated only that adherence to the law would prevent the price of gasoline from rising further. He never said that this action would lower gas prices. E introduces a comparison never mentioned or implied in the argument.