During a sale, a certain item is sold at a price 40% below its usual

Question

During a sale, a certain item is sold at a price 40% below its usual selling price. If the dollar savings on the item is $12, then what is its sale price?

(A) $30

(B) $24

(C) $18

(D) $15

(E) $6

jrk23 · Answer

Answer A

100-40=60

12 is 40
100 ?

12/40*100=30

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jrk23 · Answer

30 is original sales price, actual selling price is 18 option c

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shinrai15 · Answer

During a sale, a certain item is sold at a price 40% below its usual selling price. If the dollar savings on the item is $12, then what is its sale price?

(A) $30

(B) $24

(C) $18

(D) $15

(E) $6

Price during the Sale = Selling Price - 40%

Dollar saving = 12%
i.e., 40% = 12%
 
We now need to find out the sale price, which is the remaining 60%

Therefore, If 40% = 12
 Then,60% = ?
Cross multiply 60% *12/40% = 18

Answer is C

naturalimproviser · Answer

The item is sold at a price 40% below its usual selling price and the dollars saving is $12.

We can derive the following equation as -
Let the orignal price be "x"

now 40% of x is 12,

(40/100) * x = 12
x = 12*(100/40)
x = 30. (This is the original price of the item prior to the sale)

The sale price would be -

Original price - 40% of original price,
= 30 - (40/100)*30
= 30 - 12
= 18

Hence,  C

CrackverbalGMAT · Answer

Hi all! This question reminds me of a segment called Percentage Application tested on GMAT. Profit & Loss is an application of the topic called Percentage. One thing we would clearly disagree is on the level of difficulty! For someone who has gone through the topic and is versed with the basic concepts, this is an Intermediate question and not 700.

In fact we could push ourselves to pitch that, with a clean and logical thought process, this question actually falls in the Easy bucket. To solve a question of this type, one must be well versed with the basics of Profit and Loss. Lets walk through some GMAT centric concepts before we get on to the question directly.

Some GMAT Concepts here-

The Fundamental GMAT highlights from the topic of Profit and Loss are as follows- 1. C.P(Cost Price), S.P(Selling Price),M.P(Marked or List Price), Discount, Profit and Loss are basic terms used in this topic 2. Profit & Loss are always calculated on C.P(Cost Price) whereas Discount on the M.P. 3.CP + P = SP when there is a Profit(P) and CP-L=SP when there is a loss. 4.MP-Discount= SP and if you have Discount% mentioned, you can calculate it on the MP. MP is obtained by adding the markup% to the CP. So if you have a product with a CP of $100 and you have a markup percentage of 50%,the MP would be CP +%Markup or 100+50%of100 = $150 5.Now this point is quite important!

CP is always the "whole" price and can be assumed to be 100% but SP is >100% when there is a Profit or <100% when there is a loss. So SP is the "part" price. Also, MP is also a "whole price" and can be assumed to be 100% but SP is a "part" price that would be <100 due to the discount involved. Lets now gear up and get back to this question here

The question stem says that a certain item is sold at a price 40% below its usual selling price. This way there is a savings on the item of $12 So the 40% below the selling price creates a saving of $12 Or 40% of the Original Price = $12 Hence 100% of the Original Price = 12/40 * 100 =$30 Back again to the Q. stem, we are being asked "what is its sale price?" Since the sale price is 40% below the selling price or 60% of the Original Price; it would be 60/100 * 30 =$18

GMAT Tip- More than often a mistake is committed on GMAT because we do not go back to the Q.stem or let go of the details present. Make it a conscious choice to NOT fall in this habit zone to safeguard the targeted score.

With that, we hope we have been able to provide the insights on the questions and add value to your time invested in scrolling through our explanation. We have something more for you!

Why don't you try going through this link https://www.crackverbal.com/resources/ and check out the free resources we have in store for you! Catch up again on another thread of discussion!

Till then, prep well and be consistent. Never lose FOCUS and dont worry if your Practice test scores are not upto mark now. Just keep analyzing and logging your stark errors & keep going.

Devmitra Sen GMAT Quant SME

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During a sale, a certain item is sold at a price 40% below its usual

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