The Calex Telecommunications Company is planning to introduce cellular telephone service into isolated coastal
areas of Caladia, a move which will require considerable investment. However, the only significant economic
activity in these areas is small-scale coffee farming, and none of the coffee farmers make enough money to
afford the monthly service fees that Calex would have to charge to make a profit. Nevertheless, Calex contends
that making the service available to these farmers will be profitable.

The situation here is that Calex is introducing a new phone in area not much economic activity so their target customers are farmers. Now farmers say if they buy this service they can't make profit but calex says if they offer this service to farmers calex will make profits. we need to bridge that gap. Find a reason why farmers will use the service at the same time how can calex make profit.

Which of the following, if true,provides the strongest support for Calex's contention?

A. Currently, Caladian coffee farmers are forced to sell their coffee to local buyers at whatever price those buyers choose to pay because the farmers are unable to remain in contact with outside buyers who generally offer higher prices.

A does bridge the gap its giving us a reason how farmers will make profit, since they are able to contact outside buyers thru the calex service provided ( the passage doesn't mention any other cellular firms ). Hence, farmers will be able to make profits and calex claim is strongly supported that the farmers are using the service.

B. In the coastal areas of Caladia where Calex proposes to introduce cellular telephone service, there is currently no fixed-line telephone service because fixed-line companies do not believe that they could recoup their investment.

Irrelevant doesn't explain how farmers can make profit.

C. A cellular telephone company can break even with a considerably smaller number of subscribers than a fixedline company can, even in areas such as the Caladian coast, where there is no difficult terrain to drive up the costs of installing fixed lines.

Irrelevant its talking about fixedline companies we need a reason why farmers will use this service.

D. Calex bases its monthly fees for cellular telephone service in a given region partly on the cost of installing the necessary equipment to provide the service there.

Irrelevant we don't have a reason why farmers will buy the service.

E. Calex has for years made a profit on cellular telephone service in Caladia's capital city, which is not far from the
coastal region.

Again irrelevant