In Greenville last July, what was the average (arithmetic

Question

In Greenville last July, what was the average (arithmetic mean) home sale price?

(1) In Greenville last July, there were 100 homes sold for a total of $51 million.
(2) In Greenville last July, condominiums accounted for 60% of the home sales, and the average condominium price was $450,000.

I have two documents. Both have different answers. Please explain.

rohitgarg · Answer

Guys, Please reply.

KarishmaB · Answer

I think people can interpret it in different ways and hence arrive at different answers.

(1) In Greenville last July, there were 100 homes sold for a total of $51 million.
It is a little unclear whether only 100 homes were sold or the data is about 100 out of all the homes sold.

Spaniard · Answer

A looks like the answer. (If only 100 homes were sold)

1) 51mil/100 = Average of every house
SUFFICIENT

2) Taking weighted averages:
60(450000)+40(X)
------------------------- = Y
 60+40
 NOT SUFFICIENT

Can you please post the OAs from those two sources?

Sachin9 · Answer

how on earth would one know what a condominium is :shock:

..

mbaiseasy · Answer

I think the wording of this question is unclear.

My answer:

If 100 homes represent the total units inclusive of condominiums: 
1. 51,000,000 / 100 will give us the answer. SUFFICIENT.
2. .6 (450,000) + .4P =? INSUFFICIENT.

Answer: A

If 100 homes represent part of the total only... 
1. INSUFFICIENT.
2. .6 (450,000) + .4P =? INSUFFICIENT.

Together (1) and (2): 
100 is .4x ==> x = 1000/4 = 250

= .6 (250) (450,000) + 51,000,000 / 250 
which is SUFFICIENT

Answer: C

schittuluri · Answer

___________________________

1) total ammmount (51Mil)/no.of houses(100) = Average : Sufficent
2) 60%house hold = 450,000 from this we can find out 100% of house fold

Both are sufficient - D

Could any one please confirm me the right answer?

schittuluri · Answer

___________________________

1) total ammmount (51Mil)/no.of houses(100) = Average : Sufficent
2) 60%house hold = 450,000 from this we can find out 100% of house fold

Both are sufficient - D

KarishmaB · Answer

If you come across words you are unfamiliar with, try to figure out the meaning from context.

Statement 2 says 'condominiums accounted for 60% of the home sales'. This means it is some kind of home since its sales figure was included in the home sales figure.

Also, GMAT questions don't use arcane words but you must try to familiarize yourself with the regular use words by reading more.

swati007 · Answer

Hi schittuluri,

60%house hold = 450,000 - not true 
The question says that the avg condominium price is $450,000 , not the total price. 
So, 60%house hold = 450,000 * n (where n is the number of condominiums sold). Since we dont know the value of n.  B is not sufficient

kanusha · Answer

My answer is A,

Target Question: Avg cost , So we need total number of houses 
1, Total 100 homes and cost given 
Can find an Average 
But Doubt, Average mean some Of individual cost of each home/100 
Here Can we assume that each cost of home is same , Even the set of values might be small or big??

2, know avg cost of 60% houses , No idea about left 40% So Insufficient

Can any one explain Statement 1?

ash99 · Answer

My Answer:

Average = Sum of home sales prices/Number of homes sold.

(a) Average home price is $51,000,000/100 = $510,000. But we are not sure how many homes were there overall (may be more than 100). So INSUFFICIENT

(b) From this statement, we don’t know anything about the other 40% of homes sold in Greenville, so we cannot calculate the average home sale price. INSUFFICIENT.

Answer is E.

In Greenville last July, what was the average (arithmetic

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