PrepTest 40, Section 3, Question 1
Big-budget movies often gross two or three times the cost of their production and marketing. However, most of the movie industry's total revenue comes from low-budget movies.
Big-budget movies often gross two or three times the cost of their production and marketing. However, most of the movie industry's total revenue comes from low-budget movies.
Big-budget movies often gross two or three times the cost of their production and marketing. However, most of the movie industry's total revenue comes from low-budget movies.
Big-budget movies often gross two or three times the cost of their production and marketing. However, most of the movie industry's total revenue comes from low-budget movies.
Which one of the following, if true, most helps to resolve the apparent discrepancy above?
Big-budget movies need to sell many more tickets than do low-budget movies, just to recoup their production costs.
There are many more low-budget movies produced than there are big- and medium-budget movies.
The movie industry's revenues, when adjusted for inflation, have declined sharply in the last 30 years.
Big-budget movies, because of their elaborate special effects, cost more in insurance premiums than low-budget movies do.
The more time a company spends on making a movie the more expensive the movie is.
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