Katrina has a wheat business. She purchases wheat from a

Question

Katrina has a wheat business. She purchases wheat from a local wholesaler at a particular cost per pound. The price of the wheat at her stores is $3 per pound. Her faulty spring balance reads 0.9 pounds for a pound. Also, in the festival season, she gives a 10% discount on the wheat. She found that she made neither a profit nor a loss in the festival season. At what price did Katrina purchase the wheat from the wholesaler?

(A) 2.43
(B) 2.5
(C) 2.7
(D) 3
(E) 3.3

(A) 2.43
(B) 2.5
(C) 2.7
(D) 3
(E) 3.3

Bunuel · Accepted Answer

"Faulty spring balance reads 0.9 pounds for a pound" means that she sells 1 pound for the price of 0.9 pounds, so she looses 10% of the price because of the faulty spring balance;

She looses another 10% because of the discount.

So, she actually sells 1 pound for $3*0.9*0.9=$2.43 and since at that price she made neither a profit nor a loss, then Katrina purchase the wheat from the wholesaler for $2.43.

Answer: A.

KarishmaB · Answer

She made neither profit nor loss. So we have to find the actual selling price and we will get the cost price.

Selling price = 3
Then there are 2 discounts: 10% and the discount due to the faulty balance.

What is the discount due to the faulty balance? She gives away 1 pound though she charges only for .9 pounds because the balance shows only .9. Hence, this is another 10% discount.

So cost price = 3 * (9/10) * (9/10) = 2.43

RMD007 · Answer

Lets consider She bought 10 pounds first.

Because of her faulty spring, she sold 10 pounds as 9 pounds.

Selling price: 9*3 = 27. 
Deducting 10% discount = 24.3

So for one pound the value is - 2.43/-

stonecold · Answer

Let she bought y pounds at $x/pound
Net Cost Price => $xy

Now, on the faulty scale=>1 pound=> 0.9 pounds
Hence y pounds => 0.9y pounds
Total Selling price => 3*0.9y=> 2.7y
Discount => 10 percent
Hence => Net selling price => 2.7y(1-10/100)=> 2.7y*0.9

Now Katrina makes no profit or loss

Hence => SP=CP
2.7y*0.9=xy
=> x=2.7*0.9 => 2.43

Hence x=$2.43

SMASH that A.

warriorguy · Answer

p pounds at x per pound

Since no profit or loss, CP=SP

x*p = (3 * 0.9p) * 0.9

x=2.43

Kinshook · Answer

Katrina has a wheat business. She purchases wheat from a local wholesaler at a particular cost per pound. The price of the wheat at her stores is $3 per pound. Her faulty spring balance reads 0.9 pounds for a pound. Also, in the festival season, she gives a 10% discount on the wheat. She found that she made neither a profit nor a loss in the festival season. At what price did Katrina purchase the wheat from the wholesaler?

(A) 2.43
(B) 2.5
(C) 2.7
(D) 3
(E) 3.3

At what price did Katrina purchase the wheat from the wholesaler?

Let us assume that the price at which Katrina purchase the wheat from the wholesaler = $x per pound

Cost price of wheat = $x per pound
Sale price of wheat = $3 per pound

1 pound is shown in faulty spring balance = .9 pounds

During festive season, after discount sale price = $3 (100%-10%) = $2.7 per pound

Cost price for 1 pound = x
Instead of 1 pound, she gave = 1/.9 = 10/9 pounds
Cost price of 10/9 pounds = 10x/9
Sale price fo 10/9 pounds (1 pound in scale) = $2.7 per pound

Since she made no profit or loss during festive season
Cost price of 10/9 pounds = Sale price fo 10/9 pounds (1 pound in scale)
10x/9 = 2.7
x = 2.7*9/10 = $2.43 per pound

IMO A

GulfTube · Answer

let per pound price of wheat she purchased be $x
discount of 10% so 0.9*$3 = $2.7 per pound selling price
scale measures 0.9 lb for 1 lb so 1/0.9 = 1.11 lb is being actually sold for $2.7
actual per pound selling price: 2.7/1.11 = $2.43
since she made neither a profit nor a loss, this is the per pound price she bought wheat at.

Katrina has a wheat business. She purchases wheat from a

Prep Toolkit

Top 5 GMAT Debrief Videos

615 to 715 in 15 Days (Ria's Strategies)

More than Quant/Verbal Abilities: Speed vs. Accuracy

745 with Only Self-Prep and GMAT Club

From 555 to 765: 210-point Improvement

Perfect 805 Score Debrief by Julia

My Rewards

GMAT Problem Solving (PS) Questions

Katrina has a wheat business. She purchases wheat from a

Prep Toolkit

615 to 715 in 15 Days (Ria's Strategies)

More than Quant/Verbal Abilities: Speed vs. Accuracy

745 with Only Self-Prep and GMAT Club

From 555 to 765: 210-point Improvement

Perfect 805 Score Debrief by Julia

My Rewards