January 17, 2019 January 17, 2019 08:00 AM PST 09:00 AM PST Learn the winning strategy for a high GRE score — what do people who reach a high score do differently? We're going to share insights, tips and strategies from data we've collected from over 50,000 students who used examPAL. January 19, 2019 January 19, 2019 07:00 AM PST 09:00 AM PST Aiming to score 760+? Attend this FREE session to learn how to Define your GMAT Strategy, Create your Study Plan and Master the Core Skills to excel on the GMAT.
Author 
Message 
TAGS:

Hide Tags

Manager
Joined: 29 Nov 2011
Posts: 76

An auction house charges a commission of 15% on the first
[#permalink]
Show Tags
Updated on: 28 May 2012, 23:22
Question Stats:
81% (02:01) correct 19% (02:09) wrong based on 307 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
Official Answer and Stats are available only to registered users. Register/ Login.
Originally posted by Smita04 on 28 May 2012, 18:37.
Last edited by Bunuel on 28 May 2012, 23:22, edited 2 times in total.
Edited the question and added the OA




Math Expert
Joined: 02 Sep 2009
Posts: 52231

Re: An auction house charges a commission of 15% on the first
[#permalink]
Show Tags
28 May 2012, 23:28
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*(x50,000)=24,000 > x=$215,000 (15% of $50,000 plus 10% of the amount in excess of $50,000, which is x50,000, 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? Extrahard Quant Tests with Brilliant Analytics




Manager
Joined: 04 Oct 2011
Posts: 186
Location: India
Concentration: Entrepreneurship, International Business
GPA: 3

Re: An auction house charges a commission of 15% on the first
[#permalink]
Show Tags
06 Sep 2012, 18:54
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 240007500=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.
_________________
GMAT  Practice, Patience, Persistence Kudos if u like




Board of Directors
Joined: 01 Sep 2010
Posts: 3283

Re: An auction house charges a commission of 15% on the first
[#permalink]
Show Tags
06 Sep 2012, 17:37



Senior Manager
Status: 1,750 Q's attempted and counting
Affiliations: University of Florida
Joined: 09 Jul 2013
Posts: 494
Location: United States (FL)
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
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 240007500=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. 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
Joined: 15 Sep 2011
Posts: 324
Location: United States
WE: Corporate Finance (Manufacturing)

Re: An auction house charges a commission of 15% on the first
[#permalink]
Show Tags
01 Jul 2015, 17:02
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



EMPOWERgmat Instructor
Status: GMAT Assassin/CoFounder
Affiliations: EMPOWERgmat
Joined: 19 Dec 2014
Posts: 13341
Location: United States (CA)

Re: An auction house charges a commission of 15% on the first
[#permalink]
Show Tags
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: 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
CoFounder & 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 &nbs
[#permalink]
07 Feb 2018, 11:13






