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

 It is currently 18 Nov 2019, 15:06

### 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

# The annual stockholders' report for Corporation X stated that profits

 new topic post reply Question banks Downloads My Bookmarks Reviews Important topics
Author Message
TAGS:

### Hide Tags

Senior Manager
Joined: 04 Sep 2017
Posts: 291
The annual stockholders' report for Corporation X stated that profits  [#permalink]

### Show Tags

21 Sep 2019, 07:45
1
13
00:00

Difficulty:

65% (hard)

Question Stats:

63% (02:25) correct 37% (02:47) wrong based on 137 sessions

### HideShow timer Statistics

The annual stockholders' report for Corporation X stated that profits were up 10 percent over the previous year, although profits as a percent of sales were down 10 percent. Total sales for that year were approximately what percent of sales for the previous year?

A. 78%
B. 90%
C. 110%
D. 122%
E. 190%

PS17302.01
GMAT Club Legend
Joined: 18 Aug 2017
Posts: 5283
Location: India
Concentration: Sustainability, Marketing
GPA: 4
WE: Marketing (Energy and Utilities)
Re: The annual stockholders' report for Corporation X stated that profits  [#permalink]

### Show Tags

21 Sep 2019, 07:58
6
1
Profit PY=100
Profit CY = 110
Profit PY/Sales PY = x
Profit CY/Sales CY =0.9x
110/sales CY= (100/sales PY)*0.9
Sales CY/Sales PY = 110/0.9*100 = 122%
IMO D

gmatt1476 wrote:
The annual stockholders' report for Corporation X stated that profits were up 10 percent over the previous year, although profits as a percent of sales were down 10 percent. Total sales for that year were approximately what percent of sales for the previous year?

A. 78%
B. 90%
C. 110%
D. 122%
E. 190%

PS17302.01
##### General Discussion
Manager
Joined: 14 Apr 2017
Posts: 70
Location: Hungary
GMAT 1: 760 Q50 V42
WE: Education (Education)
Re: The annual stockholders' report for Corporation X stated that profits  [#permalink]

### Show Tags

21 Sep 2019, 12:47
2
1
gmatt1476 wrote:
The annual stockholders' report for Corporation X stated that profits were up 10 percent over the previous year, although profits as a percent of sales were down 10 percent. Total sales for that year were approximately what percent of sales for the previous year?

A. 78%
B. 90%
C. 110%
D. 122%
E. 190%

PS17302.01

The growth factor for a ratio is the ratio of the growth factor for the numerator to the growth factor for the denominator. The growth factor for the profit as a percent of sales is 0.9. The growth factor for the profit is 1.1. Let $$s$$ be the growth factor for the sales.

$$0.9=\frac{1.1}{s}$$

$$s=\frac{1.1}{0.9}=\frac{11}{9}\approx 1.22=122\%$$

_________________
My book with my solutions to all 230 PS questions in OG2018:
Zoltan's solutions to OG2018 PS
Intern
Joined: 23 Oct 2016
Posts: 6
The annual stockholders' report for Corporation X stated that profits  [#permalink]

### Show Tags

Updated on: 24 Oct 2019, 02:32
karishma,
Can you please help me understand the term 'Profit as a percent of sales' and the question on the whole?
Look forward!

Originally posted by swikrityC on 23 Oct 2019, 00:53.
Last edited by swikrityC on 24 Oct 2019, 02:32, edited 1 time in total.
Intern
Joined: 26 Apr 2019
Posts: 22
Location: India
GMAT 1: 690 Q49 V34
GPA: 3.99
Re: The annual stockholders' report for Corporation X stated that profits  [#permalink]

### Show Tags

24 Oct 2019, 02:28
i got exactly same question in gmat on 22nd october 2019
Intern
Joined: 31 Jul 2016
Posts: 11
Re: The annual stockholders' report for Corporation X stated that profits  [#permalink]

### Show Tags

05 Nov 2019, 21:23
Determining profit as a percent of sales will ultimately tell you how much of the total cost of the sale is income. The make the calculation, start with your overall sales figure. In this example, we will assume a total of 100,000 dollars in sales. If your costs to reach that sales figure are 15,000 dollars, that leaves an 85,000 dollar profit figure. Now divide the profit by the costs so 85,000 divided by 100,000 gives you .85, which is an 85-percent profit margin.

Hope this helps!!!
Re: The annual stockholders' report for Corporation X stated that profits   [#permalink] 05 Nov 2019, 21:23
Display posts from previous: Sort by

# The annual stockholders' report for Corporation X stated that profits

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

 Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne