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

 It is currently 11 Dec 2018, 08:25

# Starting NOW!

YouTube Live with Cornell Johnson - Join HERE  |  HBS Chat - Decisions at Noon ET  |  Haas Chat  Haas calling admits |  Darden Chat

### 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 December
PrevNext
SuMoTuWeThFrSa
2526272829301
2345678
9101112131415
16171819202122
23242526272829
303112345
Open Detailed Calendar
• ### Free GMAT Prep Hour

December 11, 2018

December 11, 2018

09:00 PM EST

10:00 PM EST

Strategies and techniques for approaching featured GMAT topics. December 11 at 9 PM EST.
• ### The winning strategy for 700+ on the GMAT

December 13, 2018

December 13, 2018

08:00 AM PST

09:00 AM PST

What people who reach the high 700's do differently? We're going to share insights, tips and strategies from data we collected on over 50,000 students who used examPAL.

# The price of a radio was increased by 25 percent.

Author Message
TAGS:

### Hide Tags

Current Student
Status: It always seems impossible until it's done!!
Joined: 29 Aug 2012
Posts: 1124
Location: India
WE: General Management (Aerospace and Defense)

### Show Tags

29 Jun 2014, 21:27
3
00:00

Difficulty:

5% (low)

Question Stats:

87% (00:40) correct 13% (00:46) wrong based on 191 sessions

### HideShow timer Statistics

The price of a radio was increased by 25 percent. The new price was then increased by 40 percent. A single increase of what percent is equivalent to these two successive increases?

A. 80%
B. 75%
C. 65%
D. 50%
E. 45%

_________________
SVP
Status: The Best Or Nothing
Joined: 27 Dec 2012
Posts: 1825
Location: India
Concentration: General Management, Technology
WE: Information Technology (Computer Software)
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

29 Jun 2014, 21:52
3

Say initial cost = 100

Increase by 25% = 125

Further increase by 40%$$= 125 * \frac{40}{100} = 50$$

New price = 125 + 50 = 175

Total increase = 75%
_________________

Kindly press "+1 Kudos" to appreciate

Director
Joined: 24 Nov 2015
Posts: 521
Location: United States (LA)
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

30 Mar 2016, 13:42
consider base price - $100 25% increase = 1.25*100 =$125
another 40% increase on new price = 1.4* 125 = $175 so final price of radio -$175
therefore a 75% increase

correct option - B
Intern
Joined: 24 Sep 2016
Posts: 6
Schools: MBS '18, LBS MiM"18
WE: Analyst (Consulting)

### Show Tags

29 Sep 2016, 22:50
The price of a radio was increased by 25 percent. The new price was then increased by 40 percent. A single increase of what percent is equivalent to these two successive increases?

A. 80%
B. 75%
C. 65%
D. 50%
E. 45%

Let the initial price of radio be $100 25% of 100 is 25 therefore, with the increase of 25%, the cost of radio becomes$100 + $25 =$125

Now, as mentioned there is also a increase of 40% in the new price ($125) so, find the 40% of$125
40/100 * 125 = $50 Adding this 40% increase ($50) to the new price ($125) will results as -$125 + $50 =$175

Now, as the question says we need to figure out that single increase of percent in the initial amount ($100) which would give us the value we got after the increase of both the percents ($175)
find out what percentage $175 is of$100

Let the unknown percentage be 'x'
$100* 'x'/100 =$175
'x' = 175%

Single Increase in percentage is -
175% - 100% = 75%

---------------------------------------------------------------------------------------------------------------------------------
I have tried explaining it this elaborate so that it is easier to understand otherwise this question shouldn't take more than 30-45 seconds.
Intern
Joined: 28 Aug 2015
Posts: 19
Location: Norway
WE: Information Technology (Consulting)
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

02 Oct 2016, 03:45
Just put in the formula :-
A+B+ A*B/100

40 + 25 + 40*25/100 = 75.

_________________

Thanks
Sumit kumar
If you like my post Kudos Please

Director
Status: Come! Fall in Love with Learning!
Joined: 05 Jan 2017
Posts: 506
Location: India
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

27 Feb 2017, 03:08
Let the initial price be 100
After 1st increment, the price will be 1.25*100 =125
After 2nd increment, the price will be 1.4*125 = 175
Net price increment is 75
Percentage is 75% : Option B
_________________

GMAT Mentors

Director
Joined: 12 Nov 2016
Posts: 734
Location: United States
Schools: Yale '18
GMAT 1: 650 Q43 V37
GRE 1: Q157 V158
GPA: 2.66
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

21 Jun 2017, 03:53
Gnpth wrote:
The price of a radio was increased by 25 percent. The new price was then increased by 40 percent. A single increase of what percent is equivalent to these two successive increases?

A. 80%
B. 75%
C. 65%
D. 50%
E. 45%

We can apply a few simple formulas to sovle this

x(1.25)
x(1.40) let x be 10 so really just

1.25x1.40 = 1.75

Thus
"B"
Board of Directors
Status: QA & VA Forum Moderator
Joined: 11 Jun 2011
Posts: 4273
Location: India
GPA: 3.5
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

21 Jun 2017, 06:26
Gnpth wrote:
The price of a radio was increased by 25 percent. The new price was then increased by 40 percent. A single increase of what percent is equivalent to these two successive increases?

A. 80%
B. 75%
C. 65%
D. 50%
E. 45%

$$+25 + 40 + \frac{(25*40)}{100}$$

= $$65 + 10$$

= $$75$$

_________________

Thanks and Regards

Abhishek....

PLEASE FOLLOW THE RULES FOR POSTING IN QA AND VA FORUM AND USE SEARCH FUNCTION BEFORE POSTING NEW QUESTIONS

How to use Search Function in GMAT Club | Rules for Posting in QA forum | Writing Mathematical Formulas |Rules for Posting in VA forum | Request Expert's Reply ( VA Forum Only )

Senior SC Moderator
Joined: 22 May 2016
Posts: 2200

### Show Tags

21 Jun 2017, 16:56
Nunuboy1994 wrote:
Gnpth wrote:
The price of a radio was increased by 25 percent. The new price was then increased by 40 percent. A single increase of what percent is equivalent to these two successive increases?

A. 80%
B. 75%
C. 65%
D. 50%
E. 45%

We can apply a few simple formulas to sovle this

x(1.25)
x(1.40) let x be 10 so really just

1.25x1.40 = 1.75

Thus
"B"

I might be mistaken, but I think you mean let x be 1.

For successive percent changes, if the question asks for overall percent change (and not, e.g., for the new or old price), you can just multiply the multipliers, and if the result is bigger than 1,then subtract 1 . . .IF x = 1 (which it can and does in the product of multipliers method).

As you noted, a 25% increase = 1 + .25 = 1.25

Another 40% increase is 1.40

Multiply the multipliers: (1.25)*(1.4) = 1.75

Overall or "single" percent change is

(1.75 - 1) *100 = .75 *100 = 75%

If x = 10, it looks, from the way it's written, as if you'd subtract 10 from 1.75, leaving -8.25.

Maybe you meant:
10 * 1.75 = 17.5

17.5 - 10 = 7.5

$$\frac{7.5}{10}$$ = .75*100 = 75%

Bottom line is just that if you use 1 as original value, you can simply multiply the multipliers, and if result is greater than 1, then subtract 1 to get percent change / increase in decimal form.

If you use 10, you can multiply that by the product of the multipliers (1.75), and then do $$\frac{change}{original}$$, to get percent change / increase.

You can't, however, just subtract 10 from the multipliers' product in the same way that, using x = 1, you can just subtract 1.
DS Forum Moderator
Joined: 21 Aug 2013
Posts: 1412
Location: India
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

21 Jun 2017, 20:37
Start with 100. After first increase, it becomes = 25% more than 100 = 125.

After second increase, it becomes = 40% more than 125 = 140% of 125 = 140/100 * 125 = 175.

We started with 100, ended up at 175. This is equivalent to a single increase of 75%. Hence B answer
Target Test Prep Representative
Affiliations: Target Test Prep
Joined: 04 Mar 2011
Posts: 2830
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

24 Jun 2017, 07:23
Gnpth wrote:
The price of a radio was increased by 25 percent. The new price was then increased by 40 percent. A single increase of what percent is equivalent to these two successive increases?

A. 80%
B. 75%
C. 65%
D. 50%
E. 45%

Since the price of the radio was increased by 25% and then by 40%, it was increased by 1.25 x 1.4 = 1.75, or 75%.

_________________

Jeffery Miller

GMAT Quant Self-Study Course
500+ lessons 3000+ practice problems 800+ HD solutions

Director
Joined: 08 Jun 2013
Posts: 514
Location: India
GMAT 1: 200 Q1 V1
GPA: 3.82
WE: Engineering (Other)
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

03 Dec 2018, 10:51
This is a percents question with no specific number given, so it is a good strategy to pick a number. Let's let the original price be 100. The decimal equivalent of 25% is 0.25. So when the original price is increased by 25%, the increase is 0.25(100) = 25. After the 25% increase, the new price is 100 + 25 = 125. Then this price of 125 is increased by 40%. The decimal equivalent of 40% is 0.4. So when the price of 125 is increased by 40%, the increase is 0.4(125) = 50. The final price is 125 + 50 = 175. So the original price was 100 and the final price was 175. This is an increase of . The percent that 75 is of 100 is 75%. A percent increase of 75% is equivalent to the two percent increases. (B) is correct.

Posted from my mobile device
_________________

It seems Kudos button not working correctly with all my posts...

Please check if it is working with this post......

is it?....

Anyways...Thanks for trying

Intern
Joined: 12 Apr 2017
Posts: 30
Location: United States
Concentration: Finance, Operations
GPA: 3.1
Re: The price of a radio was increased by 25 percent.  [#permalink]

### Show Tags

04 Dec 2018, 08:09
Take it one step at a time:

1) Given a % so use a 100% as your start
2) Increase of 25% so 100 + 25 = 125%
3) 125% increased by 40%,
so i. 10% of 125% = 12.5%
ii. 12.5% * 4 = 50.0%
iii. 125% + 50% = 175%
4) 175%-100%/ 100% = 75%
Re: The price of a radio was increased by 25 percent. &nbs [#permalink] 04 Dec 2018, 08:09
Display posts from previous: Sort by