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

 It is currently 21 Oct 2019, 04:06

### 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

# On a particular day, three Machines, A, B and C, which produce a....

Author Message
TAGS:

### Hide Tags

e-GMAT Representative
Joined: 04 Jan 2015
Posts: 3078
On a particular day, three Machines, A, B and C, which produce a....  [#permalink]

### Show Tags

Updated on: 29 Oct 2018, 23:32
2
2
00:00

Difficulty:

15% (low)

Question Stats:

82% (02:02) correct 18% (02:48) wrong based on 107 sessions

On a particular day, three Machines, A, B and C, which produce a product, P, can be used simultaneously, to produce 100 units of P. Each Machine cannot produce more than 40 units in a day. The cost of production per unit of product P by A, B and C are $20,$10 and $5, respectively. What is the ratio of minimum cost to maximum cost incurred, if all 100 units of P are to be produced in a single day? A. 1/4 B. 1/2 C. 13/20 D. 10/13 E. 13/10 To read all our articles:Must read articles to reach Q51 _________________ Originally posted by EgmatQuantExpert on 27 Sep 2018, 03:38. Last edited by EgmatQuantExpert on 29 Oct 2018, 23:32, edited 1 time in total. Manager Joined: 14 Jun 2018 Posts: 217 Re: On a particular day, three Machines, A, B and C, which produce a.... [#permalink] ### Show Tags 27 Sep 2018, 08:21 1 Max units from any machine is 40. To minimize the cost , maximize a and b = 40*5 + 40*10 + 20*20 = 1000 To maximize the cost , maximize b and c = 20*5 + 40*10 + 4*20 = 1300 Ratio = 10:13 e-GMAT Representative Joined: 04 Jan 2015 Posts: 3078 Re: On a particular day, three Machines, A, B and C, which produce a.... [#permalink] ### Show Tags 03 Oct 2018, 05:09 1 Solution Given: • On a particular day, machines A, B and C are used to produce 100 units of a product, P • Each machine cannot produce more than 40 units, in a day • Cost of production per unit of P by machines A, B and C =$20, $10 and$5, respectively

To find:
• The ratio of minimum cost to maximum cost incurred, if all 100 units of P are to be produced in a single day

Approach and Working:
Minimum Cost:
• Cost will be minimum, when machine A is used to produce the minimum possible number of units.
o Hence, A will produce 20 units, and both B and C will produce 40 units each

• Thus, minimum cost = $20 * 20 +$10 * 40 + $5 * 40 =$1000

Maximum Cost:
• Cost will be maximum, when machine C is used to produce the minimum possible number of units.
o Hence, C will produce 20 units, and both A and B will produce 40 units each

• Thus, maximum cost = $20 * 40 +$10 * 40 + $5 * 20 =$1300

Therefore, ratio of minimum cost to maximum cost incurred = $$\frac{1000}{1300} = \frac{10}{13}$$

Hence, the correct answer is Option D.

_________________
Re: On a particular day, three Machines, A, B and C, which produce a....   [#permalink] 03 Oct 2018, 05:09
Display posts from previous: Sort by