Check GMAT Club Decision Tracker for the Latest School Decision Releases https://gmatclub.com/AppTrack

 It is currently 27 May 2017, 07:49

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

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

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

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

Author Message
TAGS:

Hide Tags

Manager
Joined: 29 Nov 2011
Posts: 80
Followers: 1

Kudos [?]: 323 [2] , given: 37

An auction house charges a commission of 15% on the first [#permalink]

Show Tags

28 May 2012, 19:37
2
KUDOS
2
This post was
BOOKMARKED
00:00

Difficulty:

15% (low)

Question Stats:

79% (02:16) correct 21% (01:34) wrong based on 241 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 29 May 2012, 00:22, edited 2 times in total.
Edited the question and added the OA
Manager
Joined: 04 Oct 2011
Posts: 221
Location: India
GMAT 1: 440 Q33 V13
GPA: 3
Followers: 0

Kudos [?]: 53 [3] , given: 44

Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

06 Sep 2012, 19:54
3
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.
_________________

GMAT - Practice, Patience, Persistence
Kudos if u like

Math Expert
Joined: 02 Sep 2009
Posts: 38912
Followers: 7742

Kudos [?]: 106314 [2] , given: 11620

Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

29 May 2012, 00:28
2
KUDOS
Expert's post
2
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. _________________ Moderator Joined: 01 Sep 2010 Posts: 3175 Followers: 858 Kudos [?]: 7317 [0], given: 1065 Re: An auction house charges a commission of 15% on the first [#permalink] Show Tags 06 Sep 2012, 18:37 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 _________________ GMAT Club Legend Joined: 09 Sep 2013 Posts: 15481 Followers: 651 Kudos [?]: 209 [0], given: 0 Re: An auction house charges a commission of 15% on the first [#permalink] Show Tags 05 Oct 2013, 10:34 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. _________________ Director Status: 1,750 Q's attempted and counting Affiliations: University of Florida Joined: 09 Jul 2013 Posts: 512 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) Followers: 26 Kudos [?]: 828 [0], given: 630 Re: An auction house charges a commission of 15% on the first [#permalink] Show Tags 05 Oct 2013, 10:42 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. 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. GMAT Club Legend Joined: 09 Sep 2013 Posts: 15481 Followers: 651 Kudos [?]: 209 [0], given: 0 Re: An auction house charges a commission of 15% on the first [#permalink] Show Tags 01 Jul 2015, 10:57 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. _________________ Senior Manager Joined: 15 Sep 2011 Posts: 362 Location: United States WE: Corporate Finance (Manufacturing) Followers: 7 Kudos [?]: 338 [0], given: 45 Re: An auction house charges a commission of 15% on the first [#permalink] Show Tags 01 Jul 2015, 18:02 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
GMAT Club Legend
Joined: 09 Sep 2013
Posts: 15481
Followers: 651

Kudos [?]: 209 [0], given: 0

Re: An auction house charges a commission of 15% on the first [#permalink]

Show Tags

12 Mar 2017, 00:03
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.
_________________
Re: An auction house charges a commission of 15% on the first   [#permalink] 12 Mar 2017, 00:03
Similar topics Replies Last post
Similar
Topics:
1 A departmental store charges the commission of 15 percent on the first 5 31 May 2016, 03:13
4 Java House charges $3.25 for a cup of coffee that costs a total of$2. 8 05 Feb 2016, 19:18
10 At a tanning salon, customers are charged $10 for their first visit in 20 11 Mar 2017, 01:07 13 A certain taxi company charges$3.10 for the first 1/5 of a mile plus 5 15 Nov 2014, 05:01
23 A certain taxi company charges \$3.10 for the first 1/5 of a 19 16 Nov 2016, 09:00
Display posts from previous: Sort by