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Suppose x chips were produced , d of which were defective .

d < 3x/ 1000 and thus x > 1000d/3

d/20 defective chips were installed in budget phones. Thus d is a multiple of 20, i.e d =20k for some positive integer k

So we can write that

x > 1000d/3 > 20000k/3

Therefore, the smallest possible value of x is 6667 and the smallest possible value of x - d is 6647

Given that more than 60 percent of x - d were installed in flagships and that 6647 * 0.6 =3988.2 , choose 3989
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