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

 It is currently 25 May 2017, 21:29

### 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

# m03 Q 32

Author Message
SVP
Joined: 16 Nov 2010
Posts: 1666
Location: United States (IN)
Concentration: Strategy, Technology
Followers: 34

Kudos [?]: 533 [1] , given: 36

### Show Tags

02 Apr 2011, 19:35
1
KUDOS
A car dealership sold two cars: the first car at a 10% profit and the second car at a 10% loss, which gave them an overall profit margin of 5% from these two sales. If the dealership's total profit was $1000, what was the sale price of each car?$5,000 and $1,000$9,000 and $5,000$11,000 and $9,000$15,000 and $5,000$20,000 and $10,000 x - Cost of car 1 y - Cost of car 2 1.1x + 0.9y - x - y = 1000 0.1x - 0.1y = 1000 x - y = 10000 1.1x + 0.9y = 1.05(x + y) 0.05x - 0.15y = 0 x - 3y = 0 => 2y = 10000, y = 5000 x = 15000 I think the question should ask "Cost Price" instead of "sale price". Could someone please advise on this ? Regards, Subhash _________________ Formula of Life -> Achievement/Potential = k * Happiness (where k is a constant) GMAT Club Premium Membership - big benefits and savings Director Status: Impossible is not a fact. It's an opinion. It's a dare. Impossible is nothing. Affiliations: University of Chicago Booth School of Business Joined: 03 Feb 2011 Posts: 906 Followers: 14 Kudos [?]: 359 [0], given: 123 Re: m03 Q 32 [#permalink] ### Show Tags 02 Apr 2011, 21:16 I think the question should ask "Cost Price" instead of "sale price". Could someone please advise on this ? Yes you are correct! I think elimination is the strategy here. Start from C and if the profit is less move down the options and if profit is more, move up the options. The overall profit is$1000
Option C
Profit from first car = 11k * 0.1=1100
loss from the second car 9k * 0.1= 900
overall profit =1100-900=$200 Option D Profit from first car= 15k * 0.1= 1500 loss from the second car= 5k * 0.1=500 overall profit = 1500-500=$1000

I am done. Hence D

Posted from my mobile device
Re: m03 Q 32   [#permalink] 02 Apr 2011, 21:16
Similar topics Replies Last post
Similar
Topics:
56 m03: Q30 23 15 Jul 2014, 01:09
13 M03 Q27 31 11 Dec 2013, 05:57
8 M03 Q14 22 08 May 2014, 03:16
20 M03 Q33 15 09 Oct 2012, 08:16
3 M03 Q 36 20 18 Sep 2012, 08:54
Display posts from previous: Sort by

# m03 Q 32

Moderator: Bunuel

 Powered by phpBB © phpBB Group and phpBB SEO 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®.