What is the ratio of the cost price of a Hershey's Chocolate to its se

Question

What is the ratio of the cost price of a Hershey's Chocolate to its selling price?
 
I. The marked price of Hershey's Chocolate is twice its selling price.
II. The percentage discount given to a buyer is equal to the percentage profit on Hershey's Chocolate.

Refer Attachment to Understand Terms (if required)

Fdambro294 · Answer

Let the:

Marked Price = M

Selling Price = S

Cost Price = C

What is: (C / S) = ?

(1) M = 2(S)

Not sufficient

(2)

%Discount given is the percentage off of the Marked Price ——> that brings you to the final Selling Price of the item

%Discount = (M - S) / S *

And

%Profit = (S - C) / C *

Statement 2 tells us:

(M - S) / S = (S - C) / C

Not sufficient alone

Together

We are only looking for the ratio of (C / S)

Since statement 1 gives us a relationship in which the marked price (M) is in terms of the Sales Price (S) —->

We can put statement 2’s equation in terms of just C and S and find the ratio of Cost Price to Sales Price.

From here, you can logically see that the statements together are sufficient or proceed with the algebra to be sure

M = 2(S) ——-> substituting this in for M = Marked Price into statement 2’s equation we get:

(2S - S) / 2S = (S - C) / C

The S variable cancels out on the left hand side and we have

(1 / 2) = (S - C) / C

C = 2S - 2C

3C = 2S

(C / S) = (2 / 3)

C together sufficient

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GMATGuruNY · Answer

Question stem, rephrased:
What is the value of S/C ?

Statement 1:
M = 2S
S = M/2
Since the selling price is half of the marked price, the discount = 50%.
No information about C.
INSUFFiCIENT.

Statement 2:
Case 1: discount = profit = 50% --> info given in Statement 1
Since the selling price is 150% of the cost price -- yielding 50% profit -- we get:
S = 1.5C
S/C = 1.5

Case 2: discount = profit = 10%
Since the selling price is 110% of the cost price -- yielding 10% profit -- we get:
S = 1.1C
S/C = 1.1

Since S/C can be different values, INSUFFICIENT.

Statements combined:
Only Case 1 satisfies both statements.
Thus:
S/C = 1.5
SUFFICIENT.

C

JerryAtDreamScore · Answer

Breaking Down the Info:

Cost price = Cost, Selling price = Revenue. We are attempting to find  \frac{C}{R}

Statement 1 Alone:

This does not tell us anything about cost. Then statement 1 alone is insufficient.

Statement 2 Alone:

Profit = Revenue - Cost. Percentage profit would be both sides divided by cost, which is  	ext{Percentage Profit} = \frac{R}{C} - 1  . Then we only need to know the percent discount given. That is not given in this statement, so statement 2 alone is still insufficient.

Both Statements Combined:

Statement 1 gives the percentage discount, so combined it is sufficient.

Answer: C

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What is the ratio of the cost price of a Hershey's Chocolate to its se

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