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100 points for $49 worth of Veritas practice GMATs FREE VERITAS PRACTICE GMAT EXAMS Earn 10 Points Per Post Earn 10 Points Per Thanks Earn 10 Points Per Upvote ## A computer store originally bought 1,000 modems at a total.. tagged by: BTGmoderatorLU ##### This topic has 1 expert reply and 0 member replies ### Top Member ## A computer store originally bought 1,000 modems at a total.. A computer store originally bought 1,000 modems at a total cost of d dollars. If each modem was sold for 25 percent more than its original cost, what was the individual price, in terms of d, of each modem sold? (A) d/800 (B) 5d/1000 (C) 125d (D) d/1000 + 25 (E) 125/(1000d) The OA is A. I'm really confused with this PS question. Experts, any suggestion? Thanks in advance. ### GMAT/MBA Expert GMAT Instructor Joined 04 Oct 2017 Posted: 551 messages Followed by: 11 members Upvotes: 180 Top Reply Hello LUANDATO. Let's take a look at your question. If the store bought 1,000 modems for d dollars, it implies that the individual price is given by $$p=\frac{d}{1,000}\ \text{dollars}.$$ Since each modem was sold for 25 percent more than its original cost, then the price of each modem sold was $$p+25\%\cdot p=125\%\cdot p=\frac{125}{100}\cdot p=\frac{5}{4}\cdot p=\frac{5}{4}\cdot\frac{d}{1,000}=\frac{5d}{4,000}\ =\frac{d}{800}\ \text{dollars}.$$ This is why the correct answer is the option A=d/800. I hope this explanation may help you. I'm available if you'd like a follow-up. Regards. _________________ GMAT Prep From The Economist We offer 70+ point score improvement money back guarantee. Our average student improves 98 points. Free 7-Day Test Prep with Economist GMAT Tutor - Receive free access to the top-rated GMAT prep course including a 1-on-1 strategy session, 2 full-length tests, and 5 ask-a-tutor messages. Get started now. • Award-winning private GMAT tutoring Register now and save up to$200

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