The profit from the sale of a certain appliance increases

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The profit from the sale of a certain appliance increases [#permalink]

20 Feb 2012, 15:50

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The profit from the sale of a certain appliance increases, though not proportionally, with the number of units sold. did the profit exceed $4 million on sales of 380000 units?

(1) The profit exceeded $2 million on sales of 200,000 units.
(2) The profit exceeded $5 million on sales of 350,000 units.

OG12, 23 DS

Are we supposed to assume that the remaining 150,000 in A and the remaining 30,000 in B will generate different profits?-that is, they are sold separately as different chunks?

Can't we just say,

2 Million / 200,000 = price per unit? Therefore, answer is D.

OA is

[Reveal] Spoiler:

Some people calculate it profit for A this way

[Reveal] Spoiler:

So, for 380,000 units, the profit exceeded (380,000 * 2)/200,000 = $3.8 million, but it is not clear if the profit exceeded $4 million or not; NOT sufficient.

Where did they get the 2 from?

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Re: Profit increase [#permalink]

20 Feb 2012, 16:07

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The profit from the sale of a certain appliance increases, though not proportionally, with the number of units sold. did the profit exceed $4 million on sales of 380000 units?

Two important notes from the stem:
A. The profit from the sale increases with the number of units sold, so the profit on sales of 2 units is more than the profit on sales of 1 unit;
B. That increase is not proportional, so even though the profit on sales of 2 units is more than the profit on sales of 1 unit, it's not twice as much (it can be 1.1 times more, 5 times more, ..., 1,000,000 times more).

(1) The profit exceeded $2 million on sales of 200,000 units --> since the increase is not proportional we can not say whether the profit exceeded $4 million on sales of 380,000 units. Not sufficient.

(2) The profit exceeded $5 million on sales of 350,000 units --> since the profit on sales of 350,000 units, which is less than 380,000 units, is ALREADY greater than $4 million, then the profit on sales of 380,000 units will definitely be greater than $4 million. Sufficient.

Answer: B.

Hope it's clear.
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Re: Profit increase [#permalink] 20 Feb 2012, 16:07

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The profit from the sale of a certain appliance increases

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The profit from the sale of a certain appliance increases

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