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# Leo can buy a certain computer for p1 dollars in State A,

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Manager
Joined: 19 Aug 2006
Posts: 222
Followers: 1

Kudos [?]: 11 [0], given: 0

Leo can buy a certain computer for p1 dollars in State A, [#permalink]  07 Dec 2006, 22:42
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Leo can buy a certain computer for p1 dollars in State A, where the sales tax is t1 percent, or he can buy the same computer for p2 dollars in State B, where the sales tax is t2 percent. Is the total cost of the computer greater in State A than in State B?
(1) t1 > t2
(2) p1t1 > p2t2
Director
Joined: 05 Feb 2006
Posts: 902
Followers: 1

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

Getting E...

2) is insufficient because

400*0.3>500*0.5 in this case B cost is higher

100*0.2>90*0.1 in this case A cost is higher.....

1+2) still insufficient as we can see from the above.....
Director
Joined: 28 Dec 2005
Posts: 922
Followers: 2

Kudos [?]: 37 [0], given: 0

Getting E.

Cost fo state A = p1(1+t1/100)
Cost for state B = p2(1+t2/100)

For A > B
to prove:
p1+p1t1/100 > p2+p2t2/100

1 is not sufficient
from 2 we know p1t1 > p2t2. However we don't know if p1>p2.
Combining also we don't know that.
Manager
Joined: 26 Oct 2006
Posts: 127
Followers: 1

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

I got E with the assumption that t1 and t2 are already factored into P1 and P2. The questions says that you can buy a computer for P1 so I assumed, P1 and P2 already includes the tax.

1) Insuff.
2) p1t1>p2t2 Insuff
1&2 p1/p2 >t2/t1 so p1/p2 > something that is less than 1. so can be anything

E
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