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Question 69

Mr. Brijesh : A public sector company 'ABC' was privatised 3 years ago. It has increased profitability since then. This is a clear indication that industries will fare better in the private sector than in the public sector.

Mr. Sinha : That's wrong. Closer perusal of ABC's balance sheets shows that it has been profitable since the appointment of a professional managing director 3 years ago, while it was still in the public sector.

Which best describes the weakness in Mr. Brijesh's judgement which Mr. Sinha is using?

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