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Manager
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Challenge Problem [#permalink] New post 25 Aug 2006, 20:18
Can someone explain the following problems?

If the circus were to sell al of its 220 tickets for this month's performance at their usual price, the revenue from sales would be 10% greater than that collected last month. However, the circus raised the ticket price by 5% and sold only 200tickets as a result. What percent less was last month's revenue than that of this month?

A. 2
B. 5
C 100/21
D. 110/20
E. 9/4
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 [#permalink] New post 25 Aug 2006, 21:34
IT seems to me that the answer is 5 percent.

220 tickets at regular price... Lets say that the price is a dollar.

220=10% more than last month

220/1.10=200 (the amount that they made last month, and also the amount of tickest they sold)

this month they sold 200 tickets (the same as last month) at a price increase of 5 percent...

they made 5 percent more 210 dollars from 200 tickets sold at a price of 1.05
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 [#permalink] New post 25 Aug 2006, 21:37
whoops... I did not read the last sentence not how much more but how much less... It should be 100/21 since that is just a tad less than 5 percent.
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 [#permalink] New post 26 Aug 2006, 06:10
220S = 1.1L

This year,

Sale = 200(1.05S) = 1.05L

Difference in sale = 0.05L

As a percentage of this year's sale = 0.05/1.05 = A little less than 5%, will go with C
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 [#permalink] New post 26 Aug 2006, 09:17
C

Let p price and r revenue

First month: 220*p = 1.1* r => r = 200*p

Second month: 200 * (1.05*p)=r => r=210*p

Then, what percent less was last month's revenue (200p) than that of this month (210p)?

Answer = 100/21
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 [#permalink] New post 26 Aug 2006, 09:27
B is the trap answer for those who rush through this question (myself included :oops: ) Answer should be .05/1.05~100/41
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 [#permalink] New post 26 Aug 2006, 19:55
I think C

If x is the amount of the ticket, then this month's sale is 220x
last month was 10% less => 200x

if the tickets were sold at 5% more then the price is x+.05x

for 200 tickets => 200(x+.05x) = 210x

revenue less: 100/21
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 [#permalink] New post 27 Dec 2007, 07:57
QP=Rev

Rev = 220x
last months Rev = .9(220x) = 200x


QP=Rev
200 * 1.5x = 210x

(210x - 200x)/ 210x
10x/210x
1/21
slightly less than 5, but definitely not close to 2
therefore C 100/21
  [#permalink] 27 Dec 2007, 07:57
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