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Bunuel
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A company sells radios for $15.00 each. It costs the company $14.00 pe 30 Jul 2018, 00:17
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85% (01:31) correct 15% (01:33) wrong based on 1399 sessions

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A company sells radios for $15.00 each. It costs the company $14.00 per radio to produce 1,000 radios and $13.50 per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

A. $500
B. $1,000
C. $1,500
D. $2,000
E. $2,500


(PS01949)­
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D
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A company sells radios for $15.00 each. It costs the company $14.00 pe 10 Aug 2018, 18:56
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Bunuel
A company sells radios for $15.00 each. It costs the company $14.00 per radio to produce 1,000 radios and $13.50 per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

A. $500
B. $1,000
C. $1,500
D. $2,000
E. $2,500
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The gross profit for 1,000 radios is:

15 x 1000 - 14 x 1000 = 1000(15 - 14) = $1000

The gross profit for 2,000 radios is:

15 x 2000 - 13.5 x 2000 = 2000(15 - 13.5) = 2000 x 1.5 = $3000.

The difference is $2000.

Answer: D
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A company sells radios for $15.00 each. It costs the company $14.00 pe 30 Jul 2018, 01:17
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Bunuel
A company sells radios for $15.00 each. It costs the company $14.00 per radio to produce 1,000 radios and $13.50 per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

A. $500
B. $1,000
C. $1,500
D. $2,000
E. $2,500


NEW question from GMAT® Quantitative Review 2019


(PS01949)
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Selling price per radio = 15

Phase 1:

production cost of 1000 radios = 14*1000 = 14000

Total selling price of 1000 radios = 15*1000 = 15000

Profit = 1000

Phase 2 :

total selling price of 2000 = 15*2000 = 30000

Total production cost of 2000 radios = 13.50*2000 = 27000

Profit = 30000 -27000 = 3000

Difference in profit = 3000 -1000 = 2000

The best answer is D.
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A company sells radios for $15.00 each. It costs the company $14.00 pe 30 Jul 2018, 01:28
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Bunuel
A company sells radios for $15.00 each. It costs the company $14.00 per radio to produce 1,000 radios and $13.50 per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

A. $500
B. $1,000
C. $1,500
D. $2,000
E. $2,500


NEW question from GMAT® Quantitative Review 2019


(PS01949)
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OA:D

1st case: production and sale of 1,000 radios
Selling price/unit = $15.00
Cost price/unit = $14.00
Profit /unit = $1.00
Profit on 1000 units = $1.00*1000 =$1000

2nd case: production and sale of 2,000 radios
Selling price/unit = $15.00
Cost price/unit = $13.50
Profit /unit = $1.50
Profit on 2000 units = $1.50*2000 =$3000

Difference in gross profit = $3000-$1000 =$2000
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A company sells radios for $15.00 each. It costs the company $14.00 pe 16 Aug 2018, 23:45
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Shorter way:
SP= $15.00 Each

CP 1= 14.00 EACH
CP 2= 13.5 EACH.

now instead of considering 1000 and 2000 just consider 1 and 2 as ratio would be constant.

>> Profit= 15(1) -14(1) = 1

>>Profit = 15(2)- 13.5(2)= 3
( As twice the amount is produced and sold)

Answer >> 3-1= 2

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A company sells radios for $15.00 each. It costs the company $14.00 pe 05 Jan 2019, 01:08
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The gross profit for 1,000 radios is:

15 x 1000 - 14 x 1000 = 1000(15 - 14) = $1000

The gross profit for 2,000 radios is:

15 x 2000 - 13.5 x 2000 = 2000(15 - 13.5) = 2000 x 1.5 = $3000.

The difference is:

3000$ - 1000$ = $2000.

Answer: D
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A company sells radios for $15.00 each. It costs the company $14.00 pe 16 Mar 2019, 04:06
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Bunuel
A company sells radios for $15.00 each. It costs the company $14.00 per radio to produce 1,000 radios and $13.50 per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

A. $500
B. $1,000
C. $1,500
D. $2,000
E. $2,500


NEW question from GMAT® Quantitative Review 2019


(PS01949)
Show more

Answer

Scenario 1: ( For 1000 Nos Radio production )

Selling Price for Radio = $ 15
Cost per Radio = $ 14
Profit per Radio = $1------------- A

Scenario 2 ( For 2000 Nos Radio production )

Selling Price for Radio = $ 15
Cost per Radio = $ 13.5
Profit per Radio = $1.5------------- B

Difference in Profit from 2000 nos production to 1000 Nos Production

=($ 1.5 *2000 nos) - ($ 1 *1000 nos)
=$ 3000 - $1000 = $ 2000

Hence Answer D.

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A company sells radios for $15.00 each. It costs the company $14.00 pe 23 Aug 2020, 04:08
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Answer D

Production cost of 1000 radios = 14*1000 = 14000

Total selling price of 1000 radios = 15*1000 = 15000

Profit for 1st batch = 15000 - 14000 = 1000

Production cost of 1000 radios = 13.50 * 2000 = 27000

Total selling Cost of 1000 radios = 15 * 2000 = 30000

Profit for 2nd batch = 3000

The difference between the 2 batches would be = 3000 - 1000 = 2000
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A company sells radios for $15.00 each. It costs the company $14.00 pe 04 Sep 2021, 07:05
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SP of 1 radio is $15

CP of 1 radio if 1000 radios are produced=$14
Hence here profit of $1 is made per radio.
CP of 1000 radios is $14000
And SP for 1000 radios is $15000
Gross Profit=SP-CP=$15000-$14000=$1000

CP of 1 radio if 2000 radios are produced=$13.50
Here profit of $1.5 is made per radio
CP of 2000 radios is $27000
SP of 2000 radios is $30000
Gross Profit=SP-CP=$30000-$27000=$3000

Hence company makes a $3000-$1000=$2000 more in the second case.

IMO D is the correct choice
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A company sells radios for $15.00 each. It costs the company $14.00 pe 18 Feb 2025, 09:19
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