In a GMAT Data Sufficiency 'Yes/No' question, if a statement allows us to establish conclusively that the answer to the question stem is 'No' under all permissible conditions, that statement is deemed insufficient because the outcome is negative.
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The statement is False. In GMAT Data Sufficiency, a statement that leads conclusively to a 'No' answer is sufficient.
The claim is false because sufficiency in GMAT Data Sufficiency Yes/No questions is defined by certainty, not by a positive outcome. A statement that proves a condition is always false produces a definitive 'No', which fulfills the requirement for sufficiency. Insufficiency occurs exclusively when a statement is ambiguous (i.e., yields 'Yes' under some cases and 'No' under others).
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Definitive Yes/No Sufficiency Rule