Find all School-related info fast with the new School-Specific MBA Forum

 It is currently 24 Sep 2016, 22:37

### GMAT Club Daily Prep

#### Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# A manufacturer makes umbrellas at the cost of c dollars pe

Author Message
TAGS:

### Hide Tags

Manager
Joined: 09 Feb 2013
Posts: 120
Followers: 1

Kudos [?]: 742 [2] , given: 17

A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

27 Feb 2013, 04:16
2
KUDOS
10
This post was
BOOKMARKED
00:00

Difficulty:

75% (hard)

Question Stats:

60% (03:43) correct 40% (03:25) wrong based on 125 sessions

### HideShow timer Statistics

A manufacturer makes umbrellas at the cost of c dollars per umbrella, and sells them at the retail price of r dollars each. How many umbrellas can it afford to sell at the below-cost rate of b dollars per umbrella and still make a 100% profit on its lot of x total umbrellas?

A. $$\frac{b(2c-r)}{(x-r)}$$

B. $$\frac{2x(c-r)}{(b-r)}$$

C. $$\frac{x(2c-r)}{(b-r)}$$

D. $$\frac{2b(c-r)}{(x-r)}$$

E. $$\frac{2(xc-r)}{(x-r)}$$
[Reveal] Spoiler: OA

_________________

Kudos will encourage many others, like me.
Good Questions also deserve few KUDOS.

Last edited by Bunuel on 27 Feb 2013, 05:53, edited 1 time in total.
Edited the question.
Moderator
Joined: 02 Jul 2012
Posts: 1230
Location: India
Concentration: Strategy
GMAT 1: 740 Q49 V42
GPA: 3.8
WE: Engineering (Energy and Utilities)
Followers: 109

Kudos [?]: 1287 [6] , given: 116

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

27 Feb 2013, 04:27
6
KUDOS
2
This post was
BOOKMARKED
emmak wrote:
A manufacturer makes umbrellas at the cost of c dollars per umbrella, and sells them at the retail price of r dollars each. How many umbrellas can it afford to sell at the below-cost rate of b dollars per umbrella and still make a 100% profit on its lot of x total umbrellas?

$$\frac{b(2c-r)}{(x-r)}$$

$$\frac{2x(c-r)}{(b-r)}$$

$$\frac{x(2c-r)}{(b-r)}$$

$$\frac{2b(c-r)}{(x-r)}$$

$$\frac{2(xc-r)}{(x-r)}$$

Let "N" be the required answer.,

(x - N)r + Nb = 2xc

xr - Nr + Nb = 2xc

N(b - r) = x(2c - r)

N = $$\frac{x(2c-r)}{(b-r)}$$

_________________

Did you find this post helpful?... Please let me know through the Kudos button.

Thanks To The Almighty - My GMAT Debrief

GMAT Reading Comprehension: 7 Most Common Passage Types

Intern
Joined: 08 Feb 2013
Posts: 3
Followers: 0

Kudos [?]: 4 [1] , given: 0

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

28 Feb 2013, 03:33
1
KUDOS
process of elimination + intuition
x and r are not of the same nature (cost in dollar and total umbrellas) => eliminate A,D,E
now, with some intuition, if retail price is less than cost, B would be negative => eliminate B
Current Student
Joined: 06 Sep 2013
Posts: 2035
Concentration: Finance
GMAT 1: 770 Q0 V
Followers: 55

Kudos [?]: 537 [0], given: 355

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

11 Jan 2014, 08:36
emmak wrote:
A manufacturer makes umbrellas at the cost of c dollars per umbrella, and sells them at the retail price of r dollars each. How many umbrellas can it afford to sell at the below-cost rate of b dollars per umbrella and still make a 100% profit on its lot of x total umbrellas?

A. $$\frac{b(2c-r)}{(x-r)}$$

B. $$\frac{2x(c-r)}{(b-r)}$$

C. $$\frac{x(2c-r)}{(b-r)}$$

D. $$\frac{2b(c-r)}{(x-r)}$$

E. $$\frac{2(xc-r)}{(x-r)}$$

Could anybody try smart numbers on this one? I'm having a tough time coming up with the solution

Thanks!
Cheers!
J
Current Student
Joined: 02 Apr 2012
Posts: 76
Location: United States (VA)
Concentration: Entrepreneurship, Finance
GMAT 1: 680 Q49 V34
WE: Consulting (Consulting)
Followers: 1

Kudos [?]: 47 [0], given: 155

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

13 Sep 2014, 16:44
leekay wrote:
process of elimination + intuition
x and r are not of the same nature (cost in dollar and total umbrellas) => eliminate A,D,E
now, with some intuition, if retail price is less than cost, B would be negative => eliminate B

Good approach, but still I don´t understand how to choose between B and C.
_________________

Encourage cooperation! If this post was very useful, kudos are welcome
"It is our attitude at the beginning of a difficult task which, more than anything else, will affect It's successful outcome" William James

GMAT Club Legend
Joined: 09 Sep 2013
Posts: 11653
Followers: 527

Kudos [?]: 141 [0], given: 0

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

22 Oct 2015, 08:59
Hello from the GMAT Club BumpBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
_________________
Director
Joined: 12 Sep 2015
Posts: 637
Followers: 65

Kudos [?]: 471 [1] , given: 19

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

22 Oct 2015, 11:39
1
KUDOS
emmak wrote:
A manufacturer makes umbrellas at the cost of c dollars per umbrella, and sells them at the retail price of r dollars each. How many umbrellas can it afford to sell at the below-cost rate of b dollars per umbrella and still make a 100% profit on its lot of x total umbrellas?

A. $$\frac{b(2c-r)}{(x-r)}$$

B. $$\frac{2x(c-r)}{(b-r)}$$

C. $$\frac{x(2c-r)}{(b-r)}$$

D. $$\frac{2b(c-r)}{(x-r)}$$

E. $$\frac{2(xc-r)}{(x-r)}$$

This is a tough one to use the INPUT-OUTPUT approach, but here is goes:

Let c = $2 (it cost$2 to make each umbrella)
Let x = 10 (we make 10 umbrellas)
Let r = $5 (the retail price is$5 per umbrella)
Let b = $0 (the below-cost sale price is$0 per umbrella)

So, the manufacturer made 10 umbrellas at the cost of $2 per umbrella. So the total cost =$20
We need a 100% profit. So, we must earn $40 in revenue. In other words, we must sell 8 umbrellas at$5 each.
This means we can "sell" 2 umbrellas at the below-cost sale price of \$0 each.

At this point, we must plug x = 2, x = 10, r = 5 and b = 10 into each expression and see which one yields an OUTPUT of 2

A. $$\frac{b(2c-r)}{(x-r)}$$ = 0 ELIMINATE A

B. $$\frac{2x(c-r)}{(b-r)}$$ = 12 ELIMINATE B

C. $$\frac{x(2c-r)}{(b-r)}$$ = 2 KEEP C

D. $$\frac{2b(c-r)}{(x-r)}$$ = 0 ELIMINATE D

E. $$\frac{2(xc-r)}{(x-r)}$$ = 6 ELIMINATE E

Cheers,
Brent
_________________

Brent Hanneson – Founder of gmatprepnow.com

Brent also tutors students for the GMAT

Director
Joined: 12 Sep 2015
Posts: 637
Followers: 65

Kudos [?]: 471 [0], given: 19

Re: A manufacturer makes umbrellas at the cost of c dollars pe [#permalink]

### Show Tags

22 Oct 2015, 11:40
MacFauz and I have demonstrated the two methods (Algebraic and Input-Output) for solving a question type I call Variables in the Answer Choices.

If you'd like more information on these approaches, we have some free videos:
- Variables in the Answer Choices - http://www.gmatprepnow.com/module/gmat- ... /video/933
- Tips for the Algebraic Approach - http://www.gmatprepnow.com/module/gmat- ... /video/934
- Tips for the Input-Output Approach - http://www.gmatprepnow.com/module/gmat- ... /video/935

Cheers,
Brent
_________________

Brent Hanneson – Founder of gmatprepnow.com

Brent also tutors students for the GMAT

Re: A manufacturer makes umbrellas at the cost of c dollars pe   [#permalink] 22 Oct 2015, 11:40
Similar topics Replies Last post
Similar
Topics:
1 If it costs d dollars to make the first 100 copies of a poster and e d 3 09 Jun 2016, 03:42
2 The cost C, in dollars, to remove p percent of a certain pollutant fro 8 18 Oct 2015, 13:15
2 The cost C, in dollars, to remove p percent of a certain pollutant 3 04 Sep 2015, 01:34
1 The cost C of manufacturing a product can be estimated by the formula 15 31 Jul 2011, 03:32
Company p's cost c, in dollars, of producing n units of a certain prod 2 26 Jul 2010, 01:59
Display posts from previous: Sort by