A furniture store sells only two models or desks, model A and model B

Question

A furniture store sells only two models or desks, model A and model B The selling price of model A is $120, which is 30 percent of the selling price of model B If the furniture store sells 2,000 desks, $\frac{3}{4}$ of which are model B, what is the furniture store's total revenue from the sale of desks?

(A) $114,000

(B) $186,000

(C) $294,000

(D) $380,000

(E) $660,000

(A) $114,000

(B) $186,000

(C) $294,000

(D) $380,000

(E) $660,000

Bunuel · Answer

(the price of model B)*3/10 = $120;

(the price of model B) = $400.

Out of 2000 desks  \frac{3}{4}*2000=1500  were model B and the remaining 500 were model A.

Total revenue = 120*500 + 400*1500 = $660,000.

Answer: E.

varun4s · Answer

Selling price of Model A= $120
Selling price of Model B= 120* \frac{100}{30} = $400

No of desks of Model B sold=  \frac{3}{4} *2000= 1500
No of desks of Model A sold= 2000-1500= 500

Revenue from Model A= 120*500= $60,000
Revenue from Model B= 400*1500= $6,00,000

Total Revenue= $60,000+$6,00,000= $6,60,000

Answer: E.

JeffTargetTestPrep · Answer

We are given that the selling price of model A is $120, which is 30% of the selling price of model B. Thus, the selling price of model B is:
 
(0.3)B = 120
 
B = 120/0.3 = $400
 
We are also given that (3/4)(2,000) = 1500 model B desks were sold, and thus 2,000 - 1500 = 500 model A desks were sold.
 
Therefore, the total revenue for the desks is 120 x 500 + 400 x 1500 = 60,000 + 600,000 = 660,000 dollars.
 
Answer: E

EMPOWERgmatRichC · Answer

Hi All,

We're told that a furniture store sells only two models of desks, model A and model B. The selling price of model A is $120, which is 30 percent of the selling price of the model B - and the furniture store sells 2,000 desks, 3/4 of which are model B. We're asked for the TOTAL revenue of the furniture store from the sale of desks. This question can be approached in a couple of different ways, but the answer choices are written in such a way that can beat it with a bit of critical thinking and a little Arithmetic.

To start, IF all 2000 desks were sold for $120 each, then the total revenue would be $240,000. That immediately eliminates Answers A and B.

The prompt tells us that the cost of a Model B desk is MORE THAN 3 TIMES that of a Model A desk AND that MOST of the desks sold are Model Bs...

IF we sold 1000 desks at $120 each and 1000 desks at $360 each, then the total revenue would be $120,000 + $360,000 = $480,000. However, the price of Model B is MORE than $360 AND we actually sold far MORE Model B desks than Model A desks. Thus, the revenue would be a LOT higher than $480,000. There's only one answer that fits...

Final Answer:  E

GMAT assassins aren't born, they're made, 
Rich

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A furniture store sells only two models or desks, model A and model B

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A furniture store sells only two models or desks, model A and model B

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