Bunuel wrote:
The Official Guide For GMAT® Quantitative Review, 2ND EditionLast year if 97 percent of the revenues of a company came from domestic sources and the remaining revenues, totaling $450,000, came from foreign sources, what was the total of the company's revenues?
(A) $ 1,350,000
(B) $ 1,500,000
(C) $ 4,500,000
(D) $ 15,000,000
(E) $150,000,000
Concept to Note: - A whole part is represented by 1 or 1/1 in fractions and 100% when it comes to percentages.
Keeping the above concept about percentages in mind if 97% of revenues of the company came from domestic sources, the remaining sources of revenue would account for 100%-97% = 3%.
we know that 3% of total revenue is 450,00. We need to find what the total revenue is or what 100 percent is!
Let us assume our Revenue is R. Algebrically -
3% of R = 450,000
3/100 * R = 450,000
R = 450,000 * (100/3) = 150,000 * 100 = 15,000,000 or 15 Million!
This question is very simple and might appear at 500 level. The key in solving such a question would be to solve it fast enough; perferably within a minute or there about so you can save up time for the harder questions that might appear later in the exam. As soon as you see 45 in the numerator and 3 in the denominator, 15 should start running in your mind because 45/3 = 15. Stuff like this helps improve on speed.
If you look at the question and aren't sure how percentages work, your first thing to do is to look up a good source of GMAT content like
MGMAT booklets and go through the percentages chapter and evalute your progress on percentages after you've had a thorough read. Rinse, wash...repeat if you still aren't clear on something!