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A man cheats while buying as well as while selling. While

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A man cheats while buying as well as while selling. While [#permalink] New post 01 Jul 2012, 21:02
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Question Stats:

59% (02:59) correct 41% (01:39) wrong based on 44 sessions
Responding to a pm:

A man cheats while buying as well as while selling. While buying he takes 10% more than what he pays for and while selling he gives 20% less than what he claims to. Find the profit percent, if he sells at 9.09% below the cost price of the claimed weight.

Options:

A. 19.81%

B. 20%

C. 37.5%

D. 25%

E. 37.5%

In weight questions, try to go one step at a time.
Say the man buys 100 pounds for $100. But he cheats and takes 110 pounds. This means HIS cost price is $10/11 per pound.
While giving 100 pounds, he actually gives only 80 pounds and charges 9.09% less i.e. 1/11 less than the cost price of 100 pounds which is $100. So he sells at 10/11 * 100 = 1000/11
HIS cost price for 80 pounds = 10/11 * 80 = 800/11
HIS selling price for 80 pounds = 1000/11

Profit = (1000/11 - 800/11)/800/11 * 100 = 25%
[Reveal] Spoiler: OA

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Re: Incorrect Weights [#permalink] New post 01 Jul 2012, 21:02
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There is a one step calculation method too. It requires more thought but is faster.
The man takes 10% more than what he pays for. So if he claims to take 100 pounds, he pays $100 but he actually takes 110 pounds for which he will take from the customer $110. Hence, in effect, there is a 10% mark up.
While selling, he sells 20% less. This means, he claims to sell 100 pounds and gets $100 but actually sells only 80 pounds and should have got only $80 for it. So this is again a mark up of $20 on $80 which is 25%.
But he also sells at 9.09% less i.e. gives a discount of 1/11.

(1 + m1%)(1 + m2%)(1 - d%) = (1 + p%)
11/10 * 5/4 * 10/11 = (1 + p%)
profit % = 25%

To understand this formula, see: http://www.veritasprep.com/blog/2011/02 ... nt-profit/
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Re: Incorrect Weights [#permalink] New post 01 Jul 2012, 21:35
second approach seems to be easy after reading your blog post.
i am still having a hard time while trying to understnad this line
'While giving 100 pounds, he actually gives only 80 pounds and charges 9.09% less i.e. 1/11 less than the cost price of 100 pounds which is $100. '
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Re: Incorrect Weights [#permalink] New post 01 Jul 2012, 21:49
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321kumarsushant wrote:
second approach seems to be easy after reading your blog post.
i am still having a hard time while trying to understnad this line
'While giving 100 pounds, he actually gives only 80 pounds and charges 9.09% less i.e. 1/11 less than the cost price of 100 pounds which is $100. '


The man claims he is giving you 100 pounds i.e. selling you 100 pounds of product. He is supposedly giving a discount of 9.09% i.e. charging 1/11 less than the cost price of 100 pounds which is $100. So he is charging only 10/11 of $100 = $1000/11 from you for giving you "100 pounds". But actually, by cheating, he gave you only 80 pounds. So he charged you $1000/11 for 80 pounds.
Think of a fruit vendor you go to to buy some peaches. He says the cost price of the peaches is $1 per pound. But he is willing to give you a discount of 9.09%. But instead of 100 pounds of peaches, he weighs only 80 pounds and gives you less. Though he charges you for 100 pounds. How much does he charge?
9.09% less than 100 pounds i.e. 1/11 less than 100 pounds i.e. 10/11 * 100 pounds = 1000/11

Check out this post for conversion of percentages to fractions: http://www.veritasprep.com/blog/2011/02 ... rcentages/
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Re: A man cheats while buying as well as while selling. While [#permalink] New post 18 Jun 2014, 04:03
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Re: A man cheats while buying as well as while selling. While [#permalink] New post 24 Jul 2014, 10:18
VeritasPrepKarishma wrote:
There is a one step calculation method too. It requires more thought but is faster.
The man takes 10% more than what he pays for. So if he claims to take 100 pounds, he pays $100 but he actually takes 110 pounds for which he will take from the customer $110. Hence, in effect, there is a 10% mark up.
While selling, he sells 20% less. This means, he claims to sell 100 pounds and gets $100 but actually sells only 80 pounds and should have got only $80 for it. So this is again a mark up of $20 on $80 which is 25%.
But he also sells at 9.09% less i.e. gives a discount of 1/11.
(1 + m1%)(1 + m2%)(1 - d%) = (1 + p%)
11/10 * 5/4 * 10/11 = (1 + p%)
profit % = 25%

To understand this formula, see: http://www.veritasprep.com/blog/2011/02 ... nt-profit/

Hi

How you got 1/11???highlighted part???
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Re: A man cheats while buying as well as while selling. While [#permalink] New post 24 Jul 2014, 19:53
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GGMAT760 wrote:
VeritasPrepKarishma wrote:
There is a one step calculation method too. It requires more thought but is faster.
The man takes 10% more than what he pays for. So if he claims to take 100 pounds, he pays $100 but he actually takes 110 pounds for which he will take from the customer $110. Hence, in effect, there is a 10% mark up.
While selling, he sells 20% less. This means, he claims to sell 100 pounds and gets $100 but actually sells only 80 pounds and should have got only $80 for it. So this is again a mark up of $20 on $80 which is 25%.
But he also sells at 9.09% less i.e. gives a discount of 1/11.
(1 + m1%)(1 + m2%)(1 - d%) = (1 + p%)
11/10 * 5/4 * 10/11 = (1 + p%)
profit % = 25%

To understand this formula, see: http://www.veritasprep.com/blog/2011/02 ... nt-profit/

Hi

How you got 1/11???highlighted part???


This is given in the question:
"if he sells at 9.09% below the cost price of the claimed weight."

9.09% written in fraction form is 9.09/100 = 1/11

You should know the basic percentage to fraction conversions given here: http://www.veritasprep.com/blog/2011/02 ... rcentages/
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Re: A man cheats while buying as well as while selling. While [#permalink] New post 25 Jul 2014, 01:09
VeritasPrepKarishma wrote:
GGMAT760 wrote:
VeritasPrepKarishma wrote:
There is a one step calculation method too. It requires more thought but is faster.
The man takes 10% more than what he pays for. So if he claims to take 100 pounds, he pays $100 but he actually takes 110 pounds for which he will take from the customer $110. Hence, in effect, there is a 10% mark up.
While selling, he sells 20% less. This means, he claims to sell 100 pounds and gets $100 but actually sells only 80 pounds and should have got only $80 for it. So this is again a mark up of $20 on $80 which is 25%.
But he also sells at 9.09% less i.e. gives a discount of 1/11.
(1 + m1%)(1 + m2%)(1 - d%) = (1 + p%)
11/10 * 5/4 * 10/11 = (1 + p%)
profit % = 25%

To understand this formula, see: http://www.veritasprep.com/blog/2011/02 ... nt-profit/

Hi

How you got 1/11???highlighted part???


This is given in the question:
"if he sells at 9.09% below the cost price of the claimed weight."

9.09% written in fraction form is 9.09/100 = 1/11

You should know the basic percentage to fraction conversions given here: http://www.veritasprep.com/blog/2011/02 ... rcentages/


Needless to say its a good question

9.09% = 1/11 .... This approximation makes the life easier to compute; else it was not easy to calculate

+1 Kudos to you :)
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Re: A man cheats while buying as well as while selling. While   [#permalink] 25 Jul 2014, 01:09
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