GMAT Question of the Day - Daily to your Mailbox; hard ones only
close

It is currently 24 Jun 2018, 17:23
Search
Register
GMAT Club Tests
Decision Tracker
My Rewards
New posts
Unanswered

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.

Go to My Error Log Learn more
Close

Request Expert Reply

Confirm Cancel

Events & Promotions

Events & Promotions in June
Open Detailed Calendar
CLICK HERE TO HIDE/SHOW EVENTS

M03-32

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
  Sort by Date Sort by Kudos  
Search for:
 

Go to page   Previous    1   2   [ 30 posts ] 

First unread post
Author Message
TAGS:

Hide Tags
Manager
Manager
avatar
B
Joined: 01 Nov 2016
Posts: 69
Concentration: Technology, Operations
Re: M03-32 [#permalink]

Show Tags

New post 08 May 2017, 12:47
sc6h wrote:
I am doing mathematical approach.

1. 1.1x + 0.9y = 1.05(x+y)
2. 0.05(x+y) = 1,000

if you solve the two equations above, you will get x=15,000 y=5,000


For your step 1 you can simplify to:

1.1x + 0.9y = 1.05x + 1.05y
.05x = .15y
x = 3y

Then if you look at the answers, the only possible answer that matches x = 3y is $15k and $5k
Intern
Intern
avatar
B
Joined: 30 Apr 2017
Posts: 14
Re: M03-32 [#permalink]

Show Tags

New post 26 May 2017, 23:07
Bunuel

Other GMAT material also states that Profit/Loss is calculated on Cost Price. This is the way GMAT is tested. But I agree with the others above that this is not correct and completely contradicts what we are taught in Business School, that Profit Margin is ALWAYS calculated on Selling Price.
Intern
Intern
avatar
B
Joined: 25 Nov 2016
Posts: 4
Location: India
GMAT 1: 600 Q47 V26
WE: Web Development (Computer Software)
Re: M03-32 [#permalink]

Show Tags

New post 31 May 2017, 10:57
Hi Bunnel,

I don't know if I got lucky but I did this.
Let the cost of first car be x and second be y.
The profit from first car be 0.1x and loss from second be 0.1y.
now it is obvious that the profit of first car is higher than the loss of second car as we are getting a profit of 1000.
Now we know the total profit will be 0.1x-0.1y=1000
=>x-y=10000 and there is only one answer which gives x-y as 10000 that is D.


Regards,
Arpan
Intern
Intern
avatar
B
Joined: 17 May 2016
Posts: 15
Location: United States
Schools: AGSM '18
Premium Member
Re: M03-32 [#permalink]

Show Tags

New post 23 Aug 2017, 03:29
1) a,b - prices of cars:
10% of a - 10% of b = 1,000
a) 500-100 nope
b) 900-500 nope
c) 1100-900 nope
d) 1500-500 =1000
e) 2000-1000 = 1000 .
So we have d and e left.
2) 0,05 (a+b) = 1000:
d) 0,05 (20k) = 1k OK
e) 0,05 (30k) = 1.5 Nope.
hence d.
Intern
Intern
avatar
B
Joined: 20 Aug 2017
Posts: 39
Location: United States (FL)
Schools: Stanford '20 (D)
GMAT 1: 750 Q49 V42
GPA: 3.4
M03-32 [#permalink]

Show Tags

New post 27 Aug 2017, 11:31
I still find this question confusing and poorly written. "cost price" is not an understood term. There's cost and there's price. Profit % in the real world is profit $ margin as a percentage of price, not as a percentage of cost. Hence profit can never exceed 100%. What am I missing?
Intern
Intern
avatar
B
Joined: 26 Sep 2017
Posts: 3
Re: M03-32 [#permalink]

Show Tags

New post 08 Oct 2017, 13:00
Hi, I am just curious about a solution path.

If we were to backsolve using choice E:

1.10(20,000)= 22,000

Profit: 2k

.9(10,000)=9,000

Loss: 1k

2k-1k= 1k net profit

Am I missing something?
Expert Post
Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 46319
Premium Member CAT Tests
Top Member of the Month
Re: M03-32 [#permalink]

Show Tags

New post 08 Oct 2017, 21:16
georgetags10 wrote:
Hi, I am just curious about a solution path.

If we were to backsolve using choice E:

1.10(20,000)= 22,000

Profit: 2k

.9(10,000)=9,000

Loss: 1k

2k-1k= 1k net profit

Am I missing something?


This is not complete. The profit of $1,000 is not 5% of the total cost, which in case of E is $30,000.
_________________

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

Intern
Intern
avatar
B
Joined: 27 Dec 2016
Posts: 14
M03-32 [#permalink]

Show Tags

New post 16 Nov 2017, 00:45
I approached it a bit differently by exploiting the answer choices.
C1= 10% Profit
C2= 10% loss.
Overall 5% Profit = $1000.
Cost of Each Car = ?

What we need to do is check whether the sum of C1 Profit and C2 Loss is equal to $1000.
Start with Choice C
C1= 11000 -> 10% Profit = 1100
C2+ 9000 -> 10% Loss = -900
Total is not equal to 1000 and we require a bigger C1 number

Exploit Choice D -
C1= 15000 -> 10% Profit = 1500
C2 = 5000 -> 10% Loss = -500
Total is equal to 1000 and its the 5% of total cost. Hence the correct choice.
Intern
Intern
avatar
S
Joined: 20 Sep 2012
Posts: 6
Concentration: Finance, General Management
Schools: HBS '19, Stanford '19, Insead July'17, LBS
GMAT ToolKit User Premium Member Reviews Badge CAT Tests
Re M03-32 [#permalink]

Show Tags

New post 26 Dec 2017, 06:47
I think this is a high-quality question and I agree with explanation.
Intern
Intern
avatar
Joined: 23 Mar 2018
Posts: 1
Re: M03-32 [#permalink]

Show Tags

New post 24 Mar 2018, 00:53
I tried to click on the feedback button but it didn't work. Anyway, here is my feedback.

I believe that there is either not very clear explanation or the answer is incorrect. You must be clear what is meany by the cost price of each car. Either Final sales price or original Purchase price.
Anyway, We get the 20000 = X*1.1 + Y*0.9
X and Y the purchase prices of cars.
We calculate the profit relative to the purchase price of the car meaning that X*1.1 will be the sales price of the first car, and we sold the second for a 10% loss, meaning that we sold it under the purchase price: Y*0.9

X*1.1 + Y*0.9 = 20000
X+Y=19000
From here x=14500 and y=4500 (purch. prices)
X*1.1 = 15950 (sales price of car X)
Y*0.9 = 4050 (sales price of car Y)

The percent difference should be understood like this:
((Sales Price) - (Purchase price))/(purch. price)
(Y-4500)/4500 = -0.1 -> From here ->
Y-4500=-450
Y=4050
The same for X.

Maybe I didn't understand the task. But anyway you should be more clear on the terminology, COST in most cases refer to the expenses (e.g. "Cost of goods sold" in accounting).
Re: M03-32   [#permalink] 24 Mar 2018, 00:53
Print view
First unread post

Go to page   Previous    1   2   [ 30 posts ] 

Display posts from previous: Sort by

M03-32

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

Moderators: chetan2u, Bunuel

Search for:


GMAT Club MBA Forum Home| About| Terms and Conditions and Privacy Policy| 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®.

Main navigation

GMAT Resources

Partners

MBA Resources

www.gmac.com|www.mba.com | | GMAT Club Rules | Terms and Conditions