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Next year, sales of a new device are expected to add on 49% more reven

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Next year, sales of a new device are expected to add on 49% more reven  [#permalink]

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New post 19 Aug 2018, 07:39
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Question Stats:

83% (01:40) correct 17% (01:20) wrong based on 30 sessions

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Next year, sales of a new device are expected to add on 49% more revenue, bringing it to $73,606. The current revenue of the company is double of what it was in the previous year. What was the previous years revenue?


A. 12,350

B. 24,700

C. 37,050

D. 49,400

E. 61,750
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Next year, sales of a new device are expected to add on 49% more reven  [#permalink]

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New post 19 Aug 2018, 08:02
blueviper wrote:
Next year, sales of a new device are expected to add on 49% more revenue, bringing it to $73,606. The current revenue of the company is double of what it was in the previous year. What was the previous years revenue?


A. 12,350

B. 24,700

C. 37,050

D. 49,400

E. 61,750

The hitch in this question consists of keeping the language straight.

We have
Last year's revenue ("previous year"), \(R_0\)
This year's revenue ("current" year), \(R_1\)
Next year's revenue, \(R_2\)

NEXT year, revenue of $73,606 will be an increase of 49% (over THIS/"current" year, a time period that is somewhat vague but logically the only candidate).

NEXT year's revenue, \(R_2\) = this year's revenue \(R_1\) + 49% of this year \(R_1\)

\($73,606=1.49R_1\)
\(R_1=\frac{$73,606}{1.49}=$49,400\)

This year's revenue ("current revenue") is two times that of last year's revenue:
\($49,400=2* R_0\)
\(R_0=\frac{$49,400}{2}=$24,700\)

"Previous" year's revenue (last year's revenue) = $24,700

Answer B

If an equation such as
\($79,606 = 1.49 R_1\) shows up, the numbers will most likely "mesh" easily. That is, $79,606 is a multiple of 1.49


P.S. If working from the answer choices is a familiar strategy, using it may be wise because multiplication is usually much faster than long division. Alternatively, estimate.
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Re: Next year, sales of a new device are expected to add on 49% more reven  [#permalink]

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New post 19 Aug 2018, 10:45
Solution:

This complicated problem can be solved easily without the use of heavy calculations.

If we glance over the answer choices, we can see that the answer choices are relatively spread out. So we can use approximation and convert.

49% to 50% or 1/2

73606 to 73500


Say this years revenue is R

Now the question says 150%*R = 73500

We can now easily solve for R = (73500 * 100)/150 = 49,000

Remember what the question asks for. The previous years revenue = 1/2 * 49,000 = 24,500

So, the correct option is B

Kudos if it helped :-)
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Re: Next year, sales of a new device are expected to add on 49% more reven  [#permalink]

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New post 20 Aug 2018, 06:51
blueviper wrote:
Next year, sales of a new device are expected to add on 49% more revenue, bringing it to $73,606. The current revenue of the company is double of what it was in the previous year. What was the previous years revenue?


A. 12,350

B. 24,700

C. 37,050

D. 49,400

E. 61,750


In this question I would recommend you to avoid any heavy calculations.
Look at the options: D and E are clearly more than half of 73 000.
C wont allow the 50% increase in sales.
A is many times too small for the increase + doubling. Quick answer is B.
20s question.

+1 if helpful.
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Re: Next year, sales of a new device are expected to add on 49% more reven  [#permalink]

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New post 20 Aug 2018, 07:26
blueviper wrote:
Next year, sales of a new device are expected to add on 49% more revenue, bringing it to $73,606. The current revenue of the company is double of what it was in the previous year. What was the previous years revenue?


A. 12,350

B. 24,700

C. 37,050

D. 49,400

E. 61,750


Present Years Revenue/Sales is \(\frac{73606}{149}*100 = 49400\)

Previous Years Revenue/Sales is \(\frac{49400}{2} = 24700\), Answer must be (B)
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Re: Next year, sales of a new device are expected to add on 49% more reven &nbs [#permalink] 20 Aug 2018, 07:26
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