Marat sold his condo at a price that was 18% more than the price he pa

Question

Marat sold his condo at a price that was 18% more than the price he paid for it. If he bought his condo at a price that was 42% less than the buyer’s $175,000 asking price, which of the following must be true?

I. The person who sold Marat the condo lost money.
II. Marat bought the condo for $101,500.
III. 36 percent of the price at which Marat sold the condo is $43,117.20.

A. I only
B. I and II only
C. I and III only
D. II and III only
E. I, II and III

Archit3110 · Answer

Marat bought the condo @ 58% discount rate of 175,000 $ = 101500 
and sold @ 18% profit = 1.18 * 101500 = 119770
36% of 119770 = 43117.2

all three are correct
IMO E

Bunuel  ; why is answer D , could you please provide official solution

AliciaSierra · Answer

IMO E but calculation took so much time.

Bunuel · Answer

______________
It's E. Edited.

Gmatprep550 · Answer

Hi All,

I didn't got that how The person who sold Marat the condo lost money?

There is no information provided as in for how much person has bought condo who sold it to Marat. There is provided information that he sold it with discount but not necessary that he made a loss while providing discount.

MrVarghese · Answer

Hey, I'm just confused, how's the person selling his house to Marat being referred to as 'buyer' here?

Vinit800HBS · Answer

Point 1 says that the person who is selling the condo lost money. We don’t know at what price he was had bought it. We don’t know what the word lost stands for. Are we assuming that if the price paid is lower than the asking price then it’s said to be a loss?
This point is not clear and hence 1 doesn’t seem to be true

Marat bought the condo @ 58% discount rate of 175,000 $ = 101500 
and sold @ 18% profit = 1.18 * 101500 = 119770
36% of 119770 = 43117.2

Hence the answer must be D

Posted from my mobile device

Mo2men · Answer

Hi  Bunuel  
I do not understand the reasoning that I must be true . Where is the info that support that claim? Maybe the buyer got the condo with $50K. Maybe he got it with $150K. What do we now that he asks for certain price.

KanishkM · Answer

Actually all the data is given in the points itself

Marat bought the condo for $101,500, this is = 175000 - 42/100*175000.

You can use III to calculate, 18% more than the price he paid for it, they both will be same.

I) buyer’s asking price = $175,000(given)
Marat bought it at 42% less than that price

Marat observed a gain, whereas buyer who became the seller for Marat lost out on money

X bought a pen for 10$, sold it Y for 6$

Y became the buyer, whereas X became the seller

The person(X) who sold Marat(Y) the pen obviously lost money.

E

Gmatprep550 · Answer

Hi  KanishkM ,

From your explanation I am getting is that you are trying to say the person who sold Condo to Marat lost money as he sold for less than asking price correct?

KanishkM · Answer

Gmatprep550

Yes you are correct. I just related with a real life scenario.

I bought a house for 1200$, sold it you for 1100$, which you later sold for 1300$

So i attained a loss after selling my house at that price.

Gmatprep550 · Answer

I guess asking price means for what Marat offered to buy Condo and not the seller bought the property.

Hi  Bunuel  could you please provide assistance in above scenario.

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Marat sold his condo at a price that was 18% more than the price he pa

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