It is currently 25 Feb 2018, 11:53

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

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

An auction house charges a commission of 15% on the first

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

Hide Tags

2 KUDOS received
Manager
Manager
avatar
Joined: 29 Nov 2011
Posts: 78
An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 28 May 2012, 18:37
2
This post received
KUDOS
2
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

  15% (low)

Question Stats:

80% (01:16) correct 20% (01:45) wrong based on 264 sessions

HideShow timer Statistics

An auction house charges a commission of 15% on the first $50,000 of the sale price of an item, plus 10% on the amount of of the sale price in excess of $50,000. What was the price of a painting for which the house charged a total commission of $24,000?

A. $115,000
B. $160,000
C. $215,000
D. $240,000
E. $365,000
[Reveal] Spoiler: OA

Last edited by Bunuel on 28 May 2012, 23:22, edited 2 times in total.
Edited the question and added the OA
Expert Post
1 KUDOS received
Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 43916
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 28 May 2012, 23:28
1
This post received
KUDOS
Expert's post
3
This post was
BOOKMARKED
Smita04 wrote:
An auction house charges a commission of 15% on the first $50,000 of the sale price of an item, plus 10% on the amount of of the sale price in excess of $50,000. What was the price of a painting for which the house charged a total commission of $24,000?

A. $115,000
B. $160,000
C. $215,000
D. $240,000
E. $365,000


Say the price of the house was $x, then 0.15*50,000+0.1*(x-50,000)=24,000 --> x=$215,000 (15% of $50,000 plus 10% of the amount in excess of $50,000, which is x-50,000, should equal to total commission of $24,000).

Answer: C.
_________________

New to the Math Forum?
Please read this: Ultimate GMAT Quantitative Megathread | All You Need for Quant | PLEASE READ AND FOLLOW: 12 Rules for Posting!!!

Resources:
GMAT Math Book | Triangles | Polygons | Coordinate Geometry | Factorials | Circles | Number Theory | Remainders; 8. Overlapping Sets | PDF of Math Book; 10. Remainders | GMAT Prep Software Analysis | SEVEN SAMURAI OF 2012 (BEST DISCUSSIONS) | Tricky questions from previous years.

Collection of Questions:
PS: 1. Tough and Tricky questions; 2. Hard questions; 3. Hard questions part 2; 4. Standard deviation; 5. Tough Problem Solving Questions With Solutions; 6. Probability and Combinations Questions With Solutions; 7 Tough and tricky exponents and roots questions; 8 12 Easy Pieces (or not?); 9 Bakers' Dozen; 10 Algebra set. ,11 Mixed Questions, 12 Fresh Meat

DS: 1. DS tough questions; 2. DS tough questions part 2; 3. DS tough questions part 3; 4. DS Standard deviation; 5. Inequalities; 6. 700+ GMAT Data Sufficiency Questions With Explanations; 7 Tough and tricky exponents and roots questions; 8 The Discreet Charm of the DS; 9 Devil's Dozen!!!; 10 Number Properties set., 11 New DS set.


What are GMAT Club Tests?
Extra-hard Quant Tests with Brilliant Analytics

Board of Directors
User avatar
G
Joined: 01 Sep 2010
Posts: 3483
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 06 Sep 2012, 17:37
3 KUDOS received
Manager
Manager
User avatar
Joined: 04 Oct 2011
Posts: 212
Location: India
Concentration: Entrepreneurship, International Business
GMAT 1: 440 Q33 V13
GPA: 3
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 06 Sep 2012, 18:54
3
This post received
KUDOS
2
This post was
BOOKMARKED
carcass wrote:
Bunuel I would ask one thing if I can: in this kind of problem algebra (set up an equation) is faster than for instance backsolving in general, or always depends on you ??

Thanks


It Always depends on you!

For this question i did in this way.

50000 - 10 % = 7500
Then commission for remaining amount will be 24000-7500=16500

Then amount which gives this 16500 as 10% should be 165000.


Therefore summing up 165000+50000 = 215000

This was the way i felt easy for me. :-D
_________________

GMAT - Practice, Patience, Persistence
Kudos if u like :)

Director
Director
User avatar
Status: 1,750 Q's attempted and counting
Affiliations: University of Florida
Joined: 09 Jul 2013
Posts: 514
Location: United States (FL)
Schools: UFL (A)
GMAT 1: 600 Q45 V29
GMAT 2: 590 Q35 V35
GMAT 3: 570 Q42 V28
GMAT 4: 610 Q44 V30
GPA: 3.45
WE: Accounting (Accounting)
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 05 Oct 2013, 09:42
Quote:
It Always depends on you!
For this question i did in this way.
50000 - 10 % = 7500
Then commission for remaining amount will be 24000-7500=16500
Then amount which gives this 16500 as 10% should be 165000.

Therefore summing up 165000+50000 = 215000

This was the way i felt easy for me. :-D


This is the way i did it. With several parts to the equation, I kind of tackled it one part at time instead of developing an equation. That's the way my mind works. I could have derived the equation after the fact but that would have been pointless since once you get the answer you are done.
Senior Manager
Senior Manager
avatar
Joined: 15 Sep 2011
Posts: 358
Location: United States
WE: Corporate Finance (Manufacturing)
GMAT ToolKit User
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 01 Jul 2015, 17:02
3
This post was
BOOKMARKED
Back solving to arrive at $24,000. The variable is amount greater than $50,000 because 15% of 50,000 is $7,500 and therefore what brings the calculation to $16,500.

A. $115,000 - 50,000 = 65,000 * 10% = $6,500. Not correct.
B. $160,000 - 50,000 = 110,000 * 10% = $11,000. Not correct.
C. $215,000 - 50,000 = 165,000 * 10% = 16,500. Correct.
D. $240,000 Going to be too high. Not correct.
E. $365,000 Going to be too high. Not correct.

Thanks,
A
Non-Human User
User avatar
Joined: 09 Sep 2013
Posts: 13745
Premium Member
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 11 Mar 2017, 23:03
Hello from the GMAT Club BumpBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
_________________

GMAT Books | GMAT Club Tests | Best Prices on GMAT Courses | GMAT Mobile App | Math Resources | Verbal Resources

Expert Post
EMPOWERgmat Instructor
User avatar
D
Status: GMAT Assassin/Co-Founder
Affiliations: EMPOWERgmat
Joined: 19 Dec 2014
Posts: 11074
Location: United States (CA)
GMAT 1: 800 Q51 V49
GRE 1: 340 Q170 V170
Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

New post 07 Feb 2018, 11:13
Hi All,

This question can be solved by TESTing THE ANSWERS.

We're told that the commission is 15% of the first $50,000 (so that's $7,500) and 10% of the anything above $50,000. Then we're told that the total commission on an item was $24,000. We're asked for the overall price of the item.

Let's TEST Answer B: $160,000

We already know that the first $7,500 comes from the first $50,000.
10% of the remaining $110,000 = $11,000
$7500 + $11000 = $18,500 which is TOO LOW.
Eliminate Answers B and A.

Next, Let's TEST Answer D: $240,000

We already know that the first $7,500 comes from the first $50,000.
10% of the remaining $190,000 = $19,000
$7500 + $19000 = $26,500 which is TOO HIGH.
Eliminate Answers D and E.

There's only one answer left.

Final Answer:
[Reveal] Spoiler:
C


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

760+: Learn What GMAT Assassins Do to Score at the Highest Levels
Contact Rich at: Rich.C@empowergmat.com

Rich Cohen

Co-Founder & GMAT Assassin

Special Offer: Save $75 + GMAT Club Tests Free
  Official GMAT Exam Packs + 70 Pt. Improvement Guarantee
www.empowergmat.com/

***********************Select EMPOWERgmat Courses now include ALL 6 Official GMAC CATs!***********************

Re: An auction house charges a commission of 15% on the first   [#permalink] 07 Feb 2018, 11:13
Display posts from previous: Sort by

An auction house charges a commission of 15% on the first

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


GMAT Club MBA Forum Home| About| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

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

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.