A clothing store acquired an item at a cost of x dollars and sold the item for y dollars. The store’s gross profit from the item was what percent of its cost for the item?
(1) y – x = 20
2) y / x = 5 / 4
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Gross Profit
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x2suresh
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beater wrote:A clothing store acquired an item at a cost of x dollars and sold the item for y dollars. The store’s gross profit from the item was what percent of its cost for the item?
(1) y – x = 20
2) y / x = 5 / 4
gp = y-x
% gp to orignal cost = (y-x)/x *100= y/x-1*100
(1) not sufficient
(2)%= y/x-1*100 = (5/4-1)*100 = 25%
sufficient
B
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Profit = y-xbeater wrote:A clothing store acquired an item at a cost of x dollars and sold the item for y dollars. The store�s gross profit from the item was what percent of its cost for the item?
(1) y � x = 20
2) y / x = 5 / 4
Profit/Cost = (y-x)/x = y/x - x/x = y/x - 1.
Thus, to determine profit/cost, we need to know the value of y/x.
Question rephrased: what is y/x?
Statement 1: y-x = 20.
No way to determine the value of y/x.
Insufficient.
Statement 2: y/x = 5/4.
Sufficient.
The correct answer is B.
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Jeff@TargetTestPrep
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We are given that a clothing store acquired an item at a cost of x dollars and sold the item for y dollars. We must determine:beater wrote:A clothing store acquired an item at a cost of x dollars and sold the item for y dollars. The store�s gross profit from the item was what percent of its cost for the item?
(1) y � x = 20
2) y / x = 5 / 4
(profit/cost) * 100 = ?
We are given x as the cost and y as the revenue. Thus, profit = revenue - cost = y - x, and thus we can substitute y - x for profit and x for cost. Thus, our new question is:
(y - x)/x * 100 = ?
Statement One Alone:
y - x = 20
Since y - x = 20, we can substitute 20 for y - x into the expression (y - x)/x * 100.
The new question is: 20/x * 100 = ?
Since we do not know the value of x, statement one alone is not sufficient.
Statement Two Alone:
y/x = 5/4
When we cross multiply y/x = 5/4 we obtain:
4y = 5x
(4/5)y = x
0.8y = x
Since 0.8y = x, we can substitute 0.8y for x in the expression (y - x)/x * 100.
(y - 0.8y)/(0.8y) * 100 = ?
(0.2y)/(0.8y) * 100 = ?
(0.2/0.8) * 100 = ?
(1/4) * 100 = 25%
Statement two is sufficient.
Answer: B
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