The quarterly report must document four _____ performance: revenue growth, customer retention, market share, and profit margin. These indicators deter...
GMAT Standard English Conventions : (Grammar) Questions
The quarterly report must document four _____ performance: revenue growth, customer retention, market share, and profit margin. These indicators determine its stakeholder confidence.
Which choice completes the text so that it conforms to the conventions of Standard English?
metrics that assess the company's
metric's that assess the company's
metrics that assess the companies'
metrics that assess the company
Let's begin by understanding the meaning of this sentence. We'll use our understanding of pause points and segment the sentence as shown - understanding and assimilating the meaning of each segment bit by bit!
Sentence Structure
- The quarterly report
- must document
- four [metrics/metric's] that assess [the company's/the companies'/the company] performance:
- revenue growth,
- customer retention,
- market share,
- and profit margin.
- four [metrics/metric's] that assess [the company's/the companies'/the company] performance:
- must document
- These indicators
- determine
- its stakeholder confidence.
- determine
Understanding the Meaning
Let's start from the beginning:
The quarterly report must document four _____
This is where we have the blank. Let's look at the choices:
- Choice A: metrics that assess the company's
- Choice B: metric's that assess the company's
- Choice C: metrics that assess the companies'
- Choice D: metrics that assess the company
The choices vary in two ways:
- "metrics" vs. "metric's"
- How we refer to the company at the end
To see what works here, let's read the full sentence and understand what it's saying!
The complete first sentence tells us:
- The report must document four _____ performance:
- revenue growth
- customer retention
- market share
- profit margin
So we're listing four business measurements.
The second sentence adds: "These indicators determine its stakeholder confidence."
- "These indicators" refers back to the four measurements
- "Its" is singular - telling us we're talking about one company
Now let's understand what we need:
First decision - "metrics" or "metric's"?
- The sentence says "four _____"
- After a number, we need a plural noun
- "metrics" = plural (more than one metric)
- "metric's" = possessive (showing ownership by one metric)
- You can't say "four metric's" - that doesn't make grammatical sense
- We need: metrics (plural)
Second decision - "company's" vs. "companies'" vs. "company"?
- The phrase is "metrics that assess _____ performance"
- We're measuring the performance OF the company
- This means we need a possessive form to show whose performance it is
- The second sentence uses "its" (singular), confirming one company
- "the company's performance" = the performance belonging to the company
- We need: the company's (singular possessive)
What do we notice about the structure?
- "Four metrics" is our plural noun phrase
- "that assess the company's performance" is a modifier telling us what these metrics do
- The possessive "company's" shows the relationship - it's the company's performance being assessed, not just the company itself
The correct answer is A: metrics that assess the company's
GRAMMAR CONCEPT APPLIED
Plural Nouns vs. Possessive Apostrophes
Understanding when to use a plural noun versus a possessive form is crucial:
Plural Nouns (no apostrophe):
- Use when you have more than one of something
- Example: "The company tracks four metrics" (plural - four separate measurements)
- After numbers, always use plural nouns
Possessive with Apostrophe-s:
- Use to show ownership or relationship between a noun and what belongs to it
- Example: "The company's performance improved" (the performance belonging to the company)
- This is called a possessive noun in grammar terms
In this question:
- "Four metrics" = plural noun (we have four separate measurements)
- "The company's performance" = possessive (the performance that belongs to/relates to the company)
- Both forms are needed in the same phrase: "four metrics that assess the company's performance"
Key principle:
- Use plurals when counting or listing multiple items: metrics, companies, reports
- Use possessives when showing a relationship: the company's metrics, the report's findings
metrics that assess the company's
✓ Correct
- Correct as explained in the solution above.
metric's that assess the company's
✗ Incorrect
- Uses "metric's" which is possessive singular
- After "four," we need a plural noun, not a possessive
- "Four metric's" is grammatically incorrect
metrics that assess the companies'
✗ Incorrect
- "metrics" is correct (plural)
- But "companies'" is plural possessive, indicating multiple companies
- The second sentence uses "its" (singular), confirming we're discussing one company
- Creates inconsistency between the two sentences
metrics that assess the company
✗ Incorrect
- "metrics" is correct (plural)
- But missing the possessive form on "company"
- We assess "someone's performance" or "something's performance," not just assess the entity itself
- The possessive is needed to show the relationship: the performance belongs to/relates to the company