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Bunuel
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The cost of a one-family home was $ 120,000 in 1980. In 1988, the pric 03 Jan 2016, 12:08
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B
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94% (00:37) correct 6% (00:46) wrong based on 119 sessions

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The cost of a one-family home was $ 120,000 in 1980. In 1988, the price had increased to $ 180,000. What was the percent increase in the cost of the home?

A. 60%
B. 50%
C. 55%
D. 40%
E. 33.3%
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B
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The cost of a one-family home was $ 120,000 in 1980. In 1988, the pric 06 Jan 2016, 11:10
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Bunuel
The cost of a one-family home was $ 120,000 in 1980. In 1988, the price had increased to $ 180,000. What was the percent increase in the cost of the home?

A. 60%
B. 50%
C. 55%
D. 40%
E. 33.3%
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Percentage Increase = Increase in price / original price *100= (180000-120000)/120000*100=50%

Ans B
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Schools: IIM (A) ISB '24
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The cost of a one-family home was $ 120,000 in 1980. In 1988, the pric 06 Jan 2016, 11:16
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Bunuel
The cost of a one-family home was $ 120,000 in 1980. In 1988, the price had increased to $ 180,000. What was the percent increase in the cost of the home?

A. 60%
B. 50%
C. 55%
D. 40%
E. 33.3%
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Increase = 180000-120000 = 60000

% increase = 60000*100/120000 = 50%

Answer: option B
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The cost of a one-family home was $ 120,000 in 1980. In 1988, the pric 08 Jan 2016, 16:27
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Hi All,

The GMAT will absolutely test you on the concept of Percentage Change, so understanding that formula is a must. While it won't be a big point-gainer on Test Day (since the concept is usually tested just 1-2 times per Exam), it will likely be an easy question or two for you to pick up.

Percentage Change = (New - Old)/Old = Difference/Original

One of the great shortcuts in percentage change questions is that you can simplify the values involved (as long as you simplify them ALL in the SAME WAY). In this question, we're given values of $120,000 and $180,000. All of those extra 0s can be removed, which can make the math easier to deal with.

For example, you can use $120 and $180 as the two values (or $12 and $18, if you'd find that easier). The answer to the question stays the same.

GMAT assassins aren't born, they're made,
Rich
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The cost of a one-family home was $ 120,000 in 1980. In 1988, the pric 08 Mar 2024, 19:03
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