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A furniture dealer purchased a desk for $150 and then set th 11 Aug 2019, 19:25
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udribat
A furniture dealer purchased a desk for $150 and then set the selling price equal to the purchase price plus a markup that was 40% of the selling price. If the dealer sold the desk at the selling price, what was the amount of the dealer's gross profit from the purchase and the sale of the desk?

A. $40
B. $60
C. $80
D. $90
E. $100
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We are given that a furniture dealer purchased a desk for $150 and then set the selling price equal to the purchase price plus a markup that was 40 percent of the selling price.

We can create the following equation in which s = the selling price.

150 + 0.4s = s

150 = 0.6s

1,500 = 6s

250 = s

Now we can determine the gross profit, which is revenue – cost.

Gross profit = $250 – $150 = $100

Answer: E
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A furniture dealer purchased a desk for $150 and then set th 30 Sep 2019, 12:46
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udribat
A furniture dealer purchased a desk for $150 and then set the selling price equal to the purchase price plus a markup that was 40% of the selling price. If the dealer sold the desk at the selling price, what was the amount of the dealer's gross profit from the purchase and the sale of the desk?

A. $40
B. $60
C. $80
D. $90
E. $100
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Revenue = Profit - Cost
Revenue = [150 + (4/10)P] - 150

P = 150 + (4/10)P
(6/10)P = 150
P = 150(10/6)
P = 250

R = 250 - 150 = 100
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A furniture dealer purchased a desk for $150 and then set th 07 Oct 2019, 00:26
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this is all about furniture dealer purchased desk

the markup is 50% of the total price, the cost of 140 is 70 percent of the cost
hence the markup is two thirds of 160 = 70*2 =140
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A furniture dealer purchased a desk for $150 and then set th 25 Feb 2020, 12:33
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udribat
A furniture dealer purchased a desk for $150 and then set the selling price equal to the purchase price plus a markup that was 40% of the selling price. If the dealer sold the desk at the selling price, what was the amount of the dealer's gross profit from the purchase and the sale of the desk?

A. $40
B. $60
C. $80
D. $90
E. $100
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I used the options to help me out here, as i was sort of not confident!
let's start with E: 100

s.p - c.p = profit
s.p - 150=100
so s.p = 250 ---1

s.p=150(given:c.p)+100 ---eq2
lets deep dive into this 100 and look at the question " set the selling price equal to the purchase price plus a markup that was 40% of the selling price"
ok, we have the purchase price 150$, plus "40% of the selling price"
"40% of the selling price" we know this equals 100 from equation 2.
100=40% of the selling price, from 1, we know it's 250
100=40% of 250
100=100.. hence proved.. long but works when you are unsure.
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A furniture dealer purchased a desk for $150 and then set th 15 Nov 2020, 16:54
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Purchase price = $150
let selling price = s

s = $150 + 0.4s
0.6s = 150
s = 250

250 - 150 = $100

Answer is E.
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A furniture dealer purchased a desk for $150 and then set th 16 Jan 2021, 13:16
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udribat
A furniture dealer purchased a desk for $150 and then set the selling price equal to the purchase price plus a markup that was 40% of the selling price. If the dealer sold the desk at the selling price, what was the amount of the dealer's gross profit from the purchase and the sale of the desk?

A. $40
B. $60
C. $80
D. $90
E. $100
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Selling Price = x

150+0.40x=x

⇒ 0.60x=150

∴ x=250

Profit 250-150=100

The answer is E
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A furniture dealer purchased a desk for $150 and then set th 12 Apr 2022, 22:16
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CP = 150
SP = 150 + (40/100) * SP
SP = 250

Hence profit = 250 - 150 => 100
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A furniture dealer purchased a desk for $150 and then set th 13 Apr 2022, 07:39
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Cost Price of the dealer, CP = $150.
Let the selling price of the desk = SP.

Then, as per the question, SP = CP + \(\frac{2}{5}\) * SP.

Note that \(\frac{2}{5}\) * SP represents the mark up here.
The term mark-up refers to the additional amount introduced over the cost price, to ensure that a discount can be given and profit be made ( in most cases)

So, SP = 150 + \(\frac{2}{5}\) * SP.

Transferring the SP term on to the LHS and simplifying, we get SP = 250.
This means that the selling price of the desk = $ 250.

Profit = Selling Price – Cost Price.
Therefore, gross profit made by the dealer = 250 – 150 = 100.
The dealer made a profit of $100.

The correct answer option is E.
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A furniture dealer purchased a desk for $150 and then set th 01 Dec 2025, 12:21
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This is a very misleadingly written question - in typical GMAT style I don't think anyone that could speak English would ever write it like this.

Essentially the formula you want to write for it is (letting x = the selling price) x = 150 + 0.4x and then solve for x
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A furniture dealer purchased a desk for $150 and then set th 21 Dec 2025, 10:42
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purchase price PP= 150
MP= (0.4)SP
SP= 150 + 0.4(SP)
SP= 250

profit= 100
udribat
A furniture dealer purchased a desk for $150 and then set the selling price equal to the purchase price plus a markup that was 40% of the selling price. If the dealer sold the desk at the selling price, what was the amount of the dealer's gross profit from the purchase and the sale of the desk?

A. $40
B. $60
C. $80
D. $90
E. $100

Drill more questions that test the same idea in GMAT Club Timed Quiz → Free.
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A furniture dealer purchased a desk for $150 and then set th 22 Dec 2025, 23:55
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Profit = 250 - 150 = 100
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