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# A manufacturer makes and sells 2 products, P and Q. The revenue from t

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A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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17 Jun 2017, 07:11
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A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is $20.00 and the revenue from the sale of each unit of Q is$17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year?

A. $28.50 B.$27.00
C. $19.00 D.$18.50
E. $18.00 ##### Most Helpful Expert Reply GMAT Club Legend Joined: 11 Sep 2015 Posts: 4320 Location: Canada A manufacturer makes and sells 2 products, P and Q. The revenue from t [#permalink] ### Show Tags Updated on: 05 Dec 2018, 16:06 2 Top Contributor 12 AbdurRakib wrote: A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is$20.00 and the revenue from the sale of each unit of Q is $17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year? A.$28.50
B. $27.00 C.$19.00
D. $18.50 E.$18.00

Let's plug in some NICE VALUES that satisfy the given information...

Last year the manufacturer sold twice as many units of Q as P.
So, let's say the manufacturer sold 1 P and 2 Q's

What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year?
TOTAL revenue = 1($20.00) + 2($17.00)
= $20.00 +$34.00
= $54 There were 3 units sold. So, average price =$54/3 = $18 Answer: E RELATED VIDEO _________________ Test confidently with gmatprepnow.com Originally posted by GMATPrepNow on 17 Jun 2017, 07:31. Last edited by GMATPrepNow on 05 Dec 2018, 16:06, edited 1 time in total. ##### Most Helpful Community Reply Board of Directors Status: QA & VA Forum Moderator Joined: 11 Jun 2011 Posts: 4845 Location: India GPA: 3.5 WE: Business Development (Commercial Banking) Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t [#permalink] ### Show Tags 17 Jun 2017, 22:48 3 2 AbdurRakib wrote: A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is$20.00 and the revenue from the sale of each unit of Q is $17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year? A.$28.50
B. $27.00 C.$19.00
D. $18.50 E.$18.00

Revenue last year from the sale of P is 20*1 = 20
Revenue last year from the sale of Q is 17*2 = 34

Total Revenue from the sale of P and Q last year is 54

Average Revenue from the sale of P and Q last year is $$\frac{54}{2+1} = 18$$

Hence, answer will be (E) 18
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##### General Discussion
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Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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03 Aug 2018, 14:07
3
AbdurRakib wrote:
A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is $20.00 and the revenue from the sale of each unit of Q is$17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year?

A. $28.50 B.$27.00
C. $19.00 D.$18.50
E. $18.00 We can compute a weighted average to solve. Let’s assume that 2 units of Q and 1 unit of P were produced last year. So the total revenue is 2 x 17 + 1 x 20 =$54, and thus the average revenue per unit is thus 54/3 = $18. Answer: E _________________ # Scott Woodbury-Stewart Founder and CEO Scott@TargetTestPrep.com 181 Reviews 5-star rated online GMAT quant self study course See why Target Test Prep is the top rated GMAT quant course on GMAT Club. Read Our Reviews If you find one of my posts helpful, please take a moment to click on the "Kudos" button. Retired Moderator Joined: 21 Aug 2013 Posts: 1386 Location: India Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t [#permalink] ### Show Tags 02 Jul 2017, 20:49 1 Ratio of quantity of P and Q sold, P:Q = 1:2. Thus, average revenue per unit = (20*P + 17*Q)/(P+Q) = (20*1 + 17*2)/(2 + 1) = 54/3 =$ 18

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Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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18 Apr 2019, 14:30
1
1
AbdurRakib wrote:
A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is $20.00 and the revenue from the sale of each unit of Q is$17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year?

A. $28.50 B.$27.00
C. $19.00 D.$18.50
E. $18.00 If the weights were the same we would get an average of (17 + 20) / 2 = 18.5. But we have more of the product that costs 17$, so the average would be less than 18.5, only 18 works - E
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Joined: 25 Sep 2018
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A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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10 May 2019, 12:03
17+17+20/3=18 was per unit revenue
Where,
Q=17, twice
P=20

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Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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26 Aug 2019, 06:44
And I got stuck with the TRAP answer B. 27.
After reading properly the second time I got it has to be divided by 3.
Why is this happening with me?
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Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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23 Oct 2019, 05:09
GMATPrepNow wrote:
AbdurRakib wrote:
A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is $20.00 and the revenue from the sale of each unit of Q is$17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year?

A. $28.50 B.$27.00
C. $19.00 D.$18.50
E. $18.00 Let's plug in some NICE VALUES that satisfy the given information... Last year the manufacturer sold twice as many units of Q as P. So, let's say the manufacturer sold 1 P and 2 Q's There were 3 units sold. So, average price =$54/3 = $18 Answer: E GMATPrepNow how do we deduce this statement? I get confused with this statement and it often appears on word problems. can you help me understand this and its various iterations on the exam? GMAT Club Legend Joined: 11 Sep 2015 Posts: 4320 Location: Canada Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t [#permalink] ### Show Tags 23 Oct 2019, 05:17 Top Contributor Shrey9 wrote: GMATPrepNow wrote: AbdurRakib wrote: A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is$20.00 and the revenue from the sale of each unit of Q is $17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year? A.$28.50
B. $27.00 C.$19.00
D. $18.50 E.$18.00

Let's plug in some NICE VALUES that satisfy the given information...

Last year the manufacturer sold twice as many units of Q as P.
So, let's say the manufacturer sold 1 P and 2 Q's

There were 3 units sold.
So, average price = $54/3 =$18

GMATPrepNow

how do we deduce this statement? I get confused with this statement and it often appears on word problems.

can you help me understand this and its various iterations on the exam?

Which statement are you referring to?

Cheers,
Brent
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Re: A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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28 Oct 2019, 00:41
AbdurRakib wrote:
A manufacturer makes and sells 2 products, P and Q. The revenue from the sale of each unit of P is $20.00 and the revenue from the sale of each unit of Q is$17.00. Last year the manufacturer sold twice as many units of Q as P. What was the manufacturer’s average (arithmetic mean) revenue per unit sold of these 2 products last year?

A. $28.50 B.$27.00
C. $19.00 D.$18.50
E. $18.00 Solving through logic: A/B are out as average cannot be more than 20$
Since no of Q > no of P, avg will be more near 17. If No of Q = No of P avg would be 18.5 (option D) which we eliminate since it's not the case.

C is out as it is more near 20.

Logic leaves us with E.

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A manufacturer makes and sells 2 products, P and Q. The revenue from t  [#permalink]

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11 Dec 2019, 08:45
Let p = units of product P ($20/unit) sold and q = units of product Q ($17/unit) sold
Also, q = 2p
Therefore, Average = $$\frac{20p + 17p}{p + q}$$ ==> $$\frac{20p + 17(2p)}{p + 2p}$$ ==> $$\frac{20p + 34p}{3p}$$ ==> $$\frac{54p}{3p}$$ ==> \$18 (answer is E)
A manufacturer makes and sells 2 products, P and Q. The revenue from t   [#permalink] 11 Dec 2019, 08:45
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