Store N gives a 50 percent discount on the list price of all its items

Question

Store N gives a 50 percent discount on the list price of all its items and Store W gives a 60 percent discount on the list price of all its items. If the list price of the same item is 20 percent higher in Store W, what percent (more or less) of the selling price in Store N is the selling price of the item in Store W ?

A. 10% less
B. 4% less
C. 2% less
D. 10% more
E. 12% more

PS76302.01

A. 10% less
B. 4% less
C. 2% less
D. 10% more
E. 12% more

PS76302.01

sachin1114GMCKS · Accepted Answer

Selling price N = 100
Selling price W = 120

Discounted price N = 50
Discounted price W = .4 * 120 = 48

percent difference in price at w compared to N = 2/50* 100 = 4% less

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ScottTargetTestPrep · Answer

We can let the list price of the item in store N = 100; thus, the list price of the same item in store W = 120.

The selling (or discounted) price of the item in store N is 0.5 x 100 = 50, and the selling (or discounted) price of the same item in store W is 0.4 x 120 = 48. Therefore, the selling price in store W is (50 - 48)/50 x 100 = 2/50 x 100 = 4 percent less than that in store N.

Answer: B

Enrique92 · Answer

N = N price W = W price

We are looking for W/N

Then 1/2N * 6/5 = 2/5 W; 3N=2W ; W/N =3/2 >> 33.3% more.

What I am doing wrong ?

Thank you in advance!

Archit3110 · Answer

LIST PRICE = 100
Store N = 50
Store W = 40
Now store W = 40*1.2 ; 48
so
%∆ ; 50-48/50 ; 4% less IMO B

adymyr2 · Answer

VeritasKarishma , I wanted to solve this using fractions, as seen in one of your previous posts, but not sure what i`m doing wrong

Store N: List Price = X ; Selling price (50% discount) = X/2
Store W: List Price = X*6/5 ( 20% more than store N) ; Selling Price = 2/5 * 6/5 * X

What percent (more or less) of the selling price in Store N is the selling price of the item in Store W = (2/5 * 6/5 * X)/(X/2) * 100% ..... but it does not add up

Any tips?

KarishmaB · Answer

Store N Selling Price = L * (50/100) = L/2

Store W Selling Price = L * (6/5) * (40/100) = 12L/25

% diff = (12L/25 - L/2) / (L/2) * 100 = - 4%

Selling price of store W is 4% less than selling price of store N.

Answer (B)

So store W selling price is 0.5L/25 (= 2%) less than selling price at store N.

akadiyan · Answer

Lets consider List price of N is 100

N - List price = 100 = 50% discount = SP = 50
W - List Price (20% higher than LP of N)= 120 = discount = 60% = SP = 48

SP of N-W = 50-48 = 2 which is 4%

SP of W is 4% less than SP of N

Ans:   B

coreyander · Answer

We are looking for (W-N)/N. The question asks for more or less.
Also, W=6/5N. This is the equation for list price.

You have equated the prices after discount inclusive of list price equation. This is wrong.

coreyander · Answer

Should be 4%. Since  \frac{0.5L}{(25*0.5L)}*100 = 4%

Sahishnusinha · Answer

Let List Price in N=$100
It is given that List Price of W is 20% greater than that of N=1.2*100=$120

Now, SP of N after a discount of 50%=0.5*100=$50
and SP of W after a discount of 60%=0.4*120=$48

Therefore, SP of W compared to N=(50-40)/50 * 100 =$4 less (Option B)

Alternatively, Since LP of N=100 and when compared to SP of N, it is 50*2=$100
Similarly, we can say LP for W = 48*2=$96
Thus, $100-$96=$4 (less than LP of N). Hence, Option B

Basshead · Answer

N selling price = 100
W selling price = 120
N after 50% discount = 50
W after 60% discount = 48

48/50 = 2/50 = 4%

Answer is B.

Rebaz · Answer

The final question is very confusing to me.

Can someone please shed light on the last sentence of this question with simple examples?

Thanks in advance!

Hoozan · Answer

GMATBusters  can't we convert this sentence  what percent of the selling price in Store N is the selling price of the item in Store W   to ?/100 * 50 = 48? Why is this incorrect?

siddharthaggarwal · Answer

you can do like this; what percent (more or less) of 50 is 48?

48 is 4% less than 50.

Posted from my mobile device

siddharthaggarwal · Answer

that is incorrect.

question is asking what percent less of 50 is 48?

x/100*50=2
x=4% less

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debjyoti31 · Answer

when I am calculating for the percentage more or less as -- ( 50 -48) / 50 which is 4%, its N which is 4% more than W. Then why all the explanation says 4 % less ? I am not understanding. Please help.

adewale223 · Answer

Let list price in store N be X and that of store W be y

50% discount for x

0.5x

60% discount for y

0.4y

List price for store W 20% more

1.2x

So discount for store W

0.4 X 1.2x

0.48x

Therefore

0.5x - 0.48x

0.02x

0.02x/0.5x X 100

4% less.

Posted from my mobile device

Kinshook · Answer

Given: Store N gives a 50 percent discount on the list price of all its items and Store W gives a 60 percent discount on the list price of all its items. 
Asked: If the list price of the same item is 20 percent higher in Store W, what percent (more or less) of the selling price in Store N is the selling price of the item in Store W ?

Store N:- 
List price = x
Selling price = (1-50%)x = .5x

Store W:-
List price = 1.2x
Selling price = (1-60%)1.2x = .4*1.2x = .48x

Selling price of Store W / Selling price of Store N = .48x/.5x = 96% = 100% -4%

IMO B

egmat · Answer

STRATEGY:   
We will translate the question from English to Math as we read it. So, we will first translate all the given information and then what we need to find. 
This will help you understand everything in thorough detail and leave no scope for confusion later on. 
Let’s go!

GIVEN – Understand the given information - TRANSLATE:    
  The list price of a certain item is 20% higher in Store W than in Store N. (It’s the same item we are talking about. Let’s call it item X.) 
  Say the list price of item X at Store N is ‘n’. -----(1)  
 Then, the list price of the same item at store W is 20% more than n, that is, 1.2n. ---- (2)    
 Store N gives a 50% discount on the list price of all its items. 
  So, the  selling price of item X at store N  is 50% less than n. (From (1))  
 That is, n – (50% of n) = n – 0.5n =  0.5n . ----- (3)    
 Store W gives a 60% discount on the list price of all its items.  
  So, the  selling price of item X at store W  is 60% less than 1.2n. (From (2))  
 That is, 1.2n – (60% of 1.2n) = 1.2n – 0.72n =  0.48n . ----- (4)

TO ANSWER – Understand the question - TRANSLATE:    
  What percent (more or less) of the  selling price in Store N  is the  selling price of the item in Store W ?

Using (3) and (4) above, we can rewrite the question as: “What percent (more or less) of  0.5n  is  0.48n ?” 
  In simpler words, “what percent more/less is  0.48n   than   0.5n ?”  
  TRANSLATE:  Mathematically, this percentage will be:  \frac{(0.48n − 0.5n)}{0.5n} × 100 . ----- (5) 
  Note that since 0.48n < 0.5n, the % in (5) will give “what percent  LESS   0.48n  is than  0.5n ”.

SOLUTION:    
Now that we understand the question, finding the final answer is just super easy!

Required Percentage:  
  From (5), we want to find  \frac{(0.48n − 0.5n)}{0.5n} × 100 .  
 =  \frac{−0.02n}{0.5n} × 100   
 = - 0.04 × 100  
 = 4% LESS

Correct Answer:   Choice B

TAKEAWAYS:    
  “x% more than y” is calculated by y + (x% of y).  
 “What percent more is A than B” is calculated by  \frac{A−B}{B} × 100 .  
 “What percent less is A than B” is calculated by  \frac{B−A}{B} × 100 .

Hope this helps!

Shweta Koshija 
Quant Product Creator, e-GMAT

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