A construction company was paid a total of $500,000 for a construction project. The company's only costs for the project were for labor and materials. Was the company's profit for the project greater than $150,000?
(1) The company's total cost was three times its cost for materials.
(2) The company's profit was greater than its cost for labor.
I am confused...Help pls!
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A construction company
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Ozlemg
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needthis wrote:A construction company was paid a total of $500,000 for a construction project. The company's only costs for the project were for labor and materials. Was the company's profit for the project greater than $150,000?
(1) The company's total cost was three times its cost for materials.
(2) The company's profit was greater than its cost for labor.
I am confused...Help pls!
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First of all, it is a hard problem!
I hope we are on the same ground that only 1 and only 2 are not sufficient to solve the problem!
Lets try them together:
we have P > L from the 1st statement which, also rephrases to P > 2M
And, P = 500,000 - 3M (because total cost = 3M)
so 500,000 - 3M > 2M --> 500,000 > 5M --> 100,000 > M
Worst Scenerion : Lets plug in M 99.999, so L is 199.998 --> when we add them 299.997 less than 350 K
The more you suffer before the test, the less you will do so in the test! 
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Followed here and elsewhere by over 1900 test-takers.
I have worked with students based in the US, Australia, Taiwan, China, Tajikistan, Kuwait, Saudi Arabia -- a long list of countries.
My students have been admitted to HBS, CBS, Tuck, Yale, Stern, Fuqua -- a long list of top programs.
As a tutor, I don't simply teach you how I would approach problems.
I unlock the best way for YOU to solve problems.
For more information, please email me (Mitch Hunt) at [email protected].
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