GMAT Question of the Day - Daily to your Mailbox; hard ones only

 It is currently 15 Oct 2019, 20:16

### 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

### Show Tags

28 Jun 2017, 03:41
00:00

Difficulty:

25% (medium)

Question Stats:

75% (02:15) correct 25% (02:00) wrong based on 84 sessions

### HideShow timer Statistics

A farmer produced 750 bushels of a certain crop at a cost of $20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop? (A)$11250
(B) $13375 (C)$15000
(D) $18750 (E)$26250

_________________
Intern
Joined: 30 Mar 2017
Posts: 37
Location: United States (FL)

### Show Tags

28 Jun 2017, 04:17
2/3 (750) * 40 + (750/3) * 25 = $20,000 +$6,250 = $26,250 Gross Profit =$26,250 - (750*$20) =$26,250 - $15,000 =$11,250. Ans - A.
_________________
I used to think the brain was the most important organ. Then I thought, look what’s telling me that.
Senior Manager
Joined: 28 May 2017
Posts: 281
Concentration: Finance, General Management
A farmer produced 750 bushels of a certain crop at a cost of $20 per [#permalink] ### Show Tags Updated on: 28 Jun 2017, 06:55 1 Bunuel wrote: A farmer produced 750 bushels of a certain crop at a cost of$20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop?

(A) $11250 (B)$13375
(C) $15000 (D)$18750
(E) $26250 Short Cut Method On $$\frac{2}{3}$$ of production, Gross profit earned was = 100% of$20 = $20 On $$\frac{1}{3}$$ of production, Gross profit earned was =$25% of 20 = $5 Weighted average of Gross Profit/Bushel = $$\frac{2}{3}$$ 20 + $$\frac{1}{3}$$ 5 = $$\frac{45}{3}$$ = 15 Total Gross Profit = 15 x 750 = 11250 Hence Answer A _________________ If you like the post, show appreciation by pressing Kudos button Originally posted by elegantm on 28 Jun 2017, 05:39. Last edited by elegantm on 28 Jun 2017, 06:55, edited 2 times in total. Senior PS Moderator Joined: 26 Feb 2016 Posts: 3344 Location: India GPA: 3.12 A farmer produced 750 bushels of a certain crop at a cost of$20 per  [#permalink]

### Show Tags

28 Jun 2017, 06:25
If the cost of production per bushel is x$From the question stem we know that CP : 750x SP : $$500(2x) + 250(\frac{5x}{4}) = 1000x + (\frac{1250x}{4}) = \frac{5250x}{4}$$ Profit earned(due to sale of bushel) =$$\frac{5250x}{4}- 750x$$ = $$\frac{(5250x - 3000x)}{4} = \frac{2250x}{4}$$ Since we are given the cost of producing the bushel = 20$(in question stem, putting x=20$) Cost : $$2250*\frac{20}{4}$$ = 2250*5 = 11250$(Option A)
_________________
You've got what it takes, but it will take everything you've got
Board of Directors
Status: QA & VA Forum Moderator
Joined: 11 Jun 2011
Posts: 4778
Location: India
GPA: 3.5
A farmer produced 750 bushels of a certain crop at a cost of $20 per [#permalink] ### Show Tags 28 Jun 2017, 09:14 Bunuel wrote: A farmer produced 750 bushels of a certain crop at a cost of$20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop?

(A) $11250 (B)$13375
(C) $15000 (D)$18750
(E) $26250 Total cost of production =$ 15000

Quote:
If the farmer sold (2/3)rd of the bushels for double their production cost

Selling price of 2/3 rd of the bushels = 10000*2 => 20000

Quote:
sold the remaining bushels at 25 percent above their production cost

Selling price of remaining is $$\frac{125}{100}*5000$$ = 6250

Gross Profit = $$20000 + 6250 - 15000$$

So, Gross Profit is (A) 11250
_________________
Thanks and Regards

Abhishek....

PLEASE FOLLOW THE RULES FOR POSTING IN QA AND VA FORUM AND USE SEARCH FUNCTION BEFORE POSTING NEW QUESTIONS

How to use Search Function in GMAT Club | Rules for Posting in QA forum | Writing Mathematical Formulas |Rules for Posting in VA forum | Request Expert's Reply ( VA Forum Only )
Retired Moderator
Joined: 19 Mar 2014
Posts: 923
Location: India
Concentration: Finance, Entrepreneurship
GPA: 3.5
Re: A farmer produced 750 bushels of a certain crop at a cost of $20 per [#permalink] ### Show Tags 29 Jun 2017, 01:48 A farmer produced 750 bushels of a certain crop at a cost of$20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop?

Cost of Producing 750 Bushels $$= 750 *  20 =  15,000$$

2/3 Bushels $$= 750 * \frac{2}{3} = 500$$

2/3 Bushels sold at double the cost $$= 20 * 2 = 40$$

Profit per Bushels for 2/3 sold at double cost $$= 40 - 20 = 20$$

Total Profit by selling 2/3 Bushels at double cost $$= 500 * 20 = 10,000$$ ------------------------(1)

Remaining, or 1/3 of Bushels sold at 5% profit $$= 20 + \frac{5}{100} * 20 = 20 +  5 = 25$$

Profit per Bushels for 1/3 sold at 5% profit $$= 25 - 20 = 5$$

Total profit by selling 1/3 Bushels at 5% profit $$= 5 * 250 = 1,250$$ ------------------------(1)

From (1) & (2) Total Profit

$$10,000 + 1,250 = 11,250$$

_________________
"Nothing in this world can take the place of persistence. Talent will not: nothing is more common than unsuccessful men with talent. Genius will not; unrewarded genius is almost a proverb. Education will not: the world is full of educated derelicts. Persistence and determination alone are omnipotent."

Best AWA Template: https://gmatclub.com/forum/how-to-get-6-0-awa-my-guide-64327.html#p470475
Target Test Prep Representative
Status: Founder & CEO
Affiliations: Target Test Prep
Joined: 14 Oct 2015
Posts: 8060
Location: United States (CA)
Re: A farmer produced 750 bushels of a certain crop at a cost of $20 per [#permalink] ### Show Tags 30 Jun 2017, 09:21 Bunuel wrote: A farmer produced 750 bushels of a certain crop at a cost of$20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop?

(A) $11250 (B)$13375
(C) $15000 (D)$18750
(E) $26250 We are given that the farmer sold 2/3 of the bushels for double their production cost; thus, he sold them for: 750(2/3)(40) = (500)(40) =$20,000

He also sold the remaining 1/3 of the bushels at 25 percent above their product cost; thus, he sold them for:

(750)(1/3)(1.25)(20) = (250)(25) = $6,250 His cost is 750(20) =$15,000.

Thus, the profit was:

20,000 + 6,250 - 15,000= $11,250 Answer: A _________________ # Scott Woodbury-Stewart Founder and CEO Scott@TargetTestPrep.com 122 Reviews 5-star rated online GMAT quant self study course See why Target Test Prep is the top rated GMAT quant course on GMAT Club. Read Our Reviews If you find one of my posts helpful, please take a moment to click on the "Kudos" button. Director Joined: 09 Mar 2018 Posts: 996 Location: India Re: A farmer produced 750 bushels of a certain crop at a cost of$20 per  [#permalink]

### Show Tags

12 Feb 2019, 05:04
Bunuel wrote:
A farmer produced 750 bushels of a certain crop at a cost of $20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop? Initial price = 750 * 20 = 15000 New price = 500 * 40(double of 20) + 250 *25 ( 25 percent above their production cost) = 26250 Profit = 26250 - 15000$11250
_________________
If you notice any discrepancy in my reasoning, please let me know. Lets improve together.

Quote which i can relate to.
Many of life's failures happen with people who do not realize how close they were to success when they gave up.
Veritas Prep GMAT Instructor
Joined: 16 Oct 2010
Posts: 9701
Location: Pune, India
Re: A farmer produced 750 bushels of a certain crop at a cost of $20 per [#permalink] ### Show Tags 12 Feb 2019, 05:29 1 Bunuel wrote: A farmer produced 750 bushels of a certain crop at a cost of$20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop?

(A) $11250 (B)$13375
(C) $15000 (D)$18750
(E) $26250 Using weighted average: 100% profit on (2/3)rd of the bushels and 25% profit on (1/3)rd of the bushels. $$Aavg = \frac{100*(2/3) + 25*(1/3)}{1} = 75$$ Average profit is 75% over the entire crop. $$Profit = (\frac{75}{100}) * (750*20) = 11250$$ Answer (A) _________________ Karishma Veritas Prep GMAT Instructor Learn more about how Veritas Prep can help you achieve a great GMAT score by checking out their GMAT Prep Options > GMAT Club Legend Joined: 18 Aug 2017 Posts: 4999 Location: India Concentration: Sustainability, Marketing GPA: 4 WE: Marketing (Energy and Utilities) Re: A farmer produced 750 bushels of a certain crop at a cost of$20 per  [#permalink]

### Show Tags

12 Feb 2019, 06:02
Bunuel wrote:
A farmer produced 750 bushels of a certain crop at a cost of $20 per bushel. If the farmer sold (2/3)rd of the bushels for double their production cost and sold the remaining bushels at 25 percent above their production cost, what was the farmer’s gross profit on the sale of the crop? (A)$11250
(B) $13375 (C)$15000
(D) $18750 (E)$26250

total investment = 750 * 20 ; 15,000
out of 750 ; 2/3 ; 500 were sold at 40 $= 20,000 and other 250 @ 1.25 * 20 = 25 * 250 = 6250 total earned = 20,000+6250 = 26250 gross profit = 26500-15000; 11250 IMO A Re: A farmer produced 750 bushels of a certain crop at a cost of$20 per   [#permalink] 12 Feb 2019, 06:02
Display posts from previous: Sort by