📊 GMAT Exam Prep

Despite a significant decrease in the number of newly registered vehicles this quarter, the local government collected 15% more in vehicle registration fees compared to the previous quarter.

A The registration fee for commercial vehicles, which typically generate higher revenue, increased substantially this quarter.
B Many residents procrastinate vehicle registration until the last possible moment, leading to fluctuating quarterly numbers.
C The local government introduced a new online registration system that streamlined the process for many residents.
D A major local employer began offering incentives for employees to use public transportation instead of driving.

✓ Correct Answer: Option A

The paradox is increased revenue despite fewer registrations. Option A resolves this by introducing a factor that could lead to higher revenue per registration (commercial vehicles with higher fees), explaining how total fees could rise even with fewer vehicles registered overall.

Related GMAT Exam Prep Questions