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

It is currently 19 Sep 2014, 00:02

Close

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
Your Progress

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

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

Grocery store's profit equals sales minus the cost and taxes

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
Intern
Intern
avatar
Joined: 11 Apr 2012
Posts: 42
Followers: 0

Kudos [?]: 4 [0], given: 93

Grocery store's profit equals sales minus the cost and taxes [#permalink] New post 28 Aug 2012, 22:04
00:00
A
B
C
D
E

Difficulty:

  35% (medium)

Question Stats:

67% (01:45) correct 33% (01:04) wrong based on 51 sessions
Grocery store's profit equals sales minus the cost and taxes. By what percent did the grocery store's profit changed on July 25,2005 When sales, cost, and taxes all increased?

(1) Grocery store's sales increased by 5 percent on july 25,2005.
(2) Grocery store's cost and taxes increased by 25 percent on July 25,2005.
[Reveal] Spoiler: OA
Director
Director
User avatar
Joined: 22 Mar 2011
Posts: 613
WE: Science (Education)
Followers: 70

Kudos [?]: 515 [0], given: 43

GMAT Tests User
Re: Grocery store's profit equals sales minus the cost and taxes [#permalink] New post 28 Aug 2012, 23:02
vinay911 wrote:
Grocery store's profit equals sales minus the cost and taxes. By what percent did the grocery store's profit changed on July 25,2005 When sales, cost, and taxes all increased?

(1) Grocery store's sales increased by 5 percent on july 25,2005.
(2) Grocery store's cost and taxes increased by 25 percent on July 25,2005.


P - profit
S - sales
C - cost
T - taxes
So, P = S - (C + T)

(1) & (2) obviously neither one sufficient alone

(1) and (2) together:

\frac{P_{new}}{P_{old}}=\frac{1.05S-1.25(C+T)}{S-(C+T)}, again not sufficient.

Answer E
_________________

PhD in Applied Mathematics
Love GMAT Quant questions and running.

Manager
Manager
avatar
Status: exam is close ... dont know if i ll hit that number
Joined: 06 Jun 2011
Posts: 207
Location: India
Concentration: International Business, Marketing
GMAT Date: 10-09-2012
GPA: 3.2
Followers: 2

Kudos [?]: 7 [0], given: 1

Re: Grocery store's profit equals sales minus the cost and taxes [#permalink] New post 30 Aug 2012, 19:45
depending on the numbers the percentages will change and when there are same figures for both one and two this can happen

if not this will not happen
as no such condition is given this cannot happen

so i dont think we further need to solve it but straight forward go with e
_________________

just one more month for exam...

Intern
Intern
avatar
Joined: 28 Aug 2012
Posts: 48
Location: Austria
GMAT 1: 770 Q51 V42
Followers: 3

Kudos [?]: 31 [0], given: 3

Re: Grocery store's profit equals sales minus the cost and taxes [#permalink] New post 31 Aug 2012, 05:51
Cost and taxes could be low compared to sales and thus the 25% increase doesn't bother us much and we get to keep most of the 5% increase in sales. Or cost and taxes are high and thus the 25% increase is more than the increase in sales.

So we can't even say, whether profits are growing or shrinking.
Re: Grocery store's profit equals sales minus the cost and taxes   [#permalink] 31 Aug 2012, 05:51
    Similar topics Author Replies Last post
Similar
Topics:
A store purchased 20 coats that each cost an equal amount Hermione 2 20 Oct 2006, 01:09
A store purchased 20 coats that each cost an equal amount uphillclimb 4 16 Oct 2006, 18:49
A store purchased 20 coats that each cost an equal amount joemama142000 2 19 Dec 2005, 11:45
A store sells a watch for a profit of 25% of the cost. What GMATT73 2 20 Oct 2005, 21:44
In a grocery store, the average sale for month X was A swath20 11 22 Mar 2005, 07:13
Display posts from previous: Sort by

Grocery store's profit equals sales minus the cost and taxes

  Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Privacy Policy| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.