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

It is currently 18 Oct 2019, 09:30

Close

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
Your Progress

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

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Close

Request Expert Reply

Confirm Cancel

A pen manufacturer produces pens at a cost of $6.00 each for the first

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

Find Similar Topics 
Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 58453
A pen manufacturer produces pens at a cost of $6.00 each for the first  [#permalink]

Show Tags

New post 24 Sep 2018, 05:45
00:00
A
B
C
D
E

Difficulty:

  5% (low)

Question Stats:

96% (01:20) correct 4% (00:00) wrong based on 40 sessions

HideShow timer Statistics

Intern
Intern
avatar
B
Joined: 26 Aug 2016
Posts: 16
Location: United States
GMAT 1: 740 Q49 V40
GRE 1: Q159 V160
Re: A pen manufacturer produces pens at a cost of $6.00 each for the first  [#permalink]

Show Tags

New post 24 Sep 2018, 08:47
Bunuel wrote:
A pen manufacturer produces pens at a cost of $6.00 each for the first 200 pens and $4.50 for each additional pen. If 1000 pens were produced by the manufacturer and sold for $9.00 each, what was the manufacturer’s gross profit?

(A) $2500
(B) $3500
(C) $4200
(D) $5550
(E) $6600


Cost of first 200 pens=(200)($6.00)= $1200
Cost of 800 remaining pens:(800)($4.50)= $3600
Total Cost: $4800
Revenue=(1000)($9.00)=$9,000
Gross Revenue=Revenue-Cost=$4200
Manager
Manager
User avatar
P
Joined: 13 Jun 2012
Posts: 199
Location: United States
WE: Supply Chain Management (Computer Hardware)
GMAT ToolKit User CAT Tests
Re: A pen manufacturer produces pens at a cost of $6.00 each for the first  [#permalink]

Show Tags

New post 24 Sep 2018, 12:18
9*1000 - 200(6)+800(4.50)

4200
Target Test Prep Representative
User avatar
D
Status: Founder & CEO
Affiliations: Target Test Prep
Joined: 14 Oct 2015
Posts: 8104
Location: United States (CA)
Re: A pen manufacturer produces pens at a cost of $6.00 each for the first  [#permalink]

Show Tags

New post 27 Sep 2018, 17:21
Bunuel wrote:
A pen manufacturer produces pens at a cost of $6.00 each for the first 200 pens and $4.50 for each additional pen. If 1000 pens were produced by the manufacturer and sold for $9.00 each, what was the manufacturer’s gross profit?

(A) $2500
(B) $3500
(C) $4200
(D) $5550
(E) $6600


The profit was:

9 x 1000 - [6 x 200 + 4.5 x 800] = 9000 - 1200 - 3600 = 4200

Alternate Solution:

For the first 200 pens, the manufacturer made a gross profit of $9 - $6 = $3 per pen, for a total of 200 x 3 = $600.

For the remaining 800 pens, the manufacturer made a gross profit of $9 - $4.50 = $4.50 per pen, for a total of 800 x 4.50 = $3600.

Thus, the gross profit for the sale of the 1000 pens was $600 + $3600 = $4200.

Answer: C
_________________

Scott Woodbury-Stewart

Founder and CEO

Scott@TargetTestPrep.com
TTP - Target Test Prep Logo
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.

GMAT Club Bot
Re: A pen manufacturer produces pens at a cost of $6.00 each for the first   [#permalink] 27 Sep 2018, 17:21
Display posts from previous: Sort by

A pen manufacturer produces pens at a cost of $6.00 each for the first

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  





Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne