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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 furniture store sells only two models of desks, model A tagged by: AAPL ##### This topic has 3 expert replies and 0 member replies ### Top Member ## A furniture store sells only two models of desks, model A ## Timer 00:00 ## Your Answer A B C D E ## Global Stats Difficult Official Guide A furniture store sells only two models of desks, model A and model B. The selling price of model A is$120, which is 30 percent of the selling price of the model B. If the furniture store sells 2,000 desks, 3/4 of which are model B, what is the furniture store's total revenue from the sale of desks?

A. $114,000 B.$186,000
C. $294,000 D.$380,000
E. $660,000 OA E. ### GMAT/MBA Expert Elite Legendary Member Joined 23 Jun 2013 Posted: 10197 messages Followed by: 494 members Upvotes: 2867 GMAT Score: 800 Hi All, We're told that a furniture store sells only two models of desks, model A and model B. The selling price of model A is$120, which is 30 percent of the selling price of the model B - and the furniture store sells 2,000 desks, 3/4 of which are model B. We're asked for the TOTAL revenue of the furniture store from the sale of desks. This question can be approached in a couple of different ways, but the answer choices are written in such a way that can beat it with a bit of critical thinking and a little Arithmetic.

To start, IF all 2000 desks were sold for $120 each, then the total revenue would be$240,000. That immediately eliminates Answers A and B.

The prompt tells us that the cost of a Model B desk is MORE THAN 3 TIMES that of a Model A desk AND that MOST of the desks sold are Model Bs...

IF we sold 1000 desks at $120 each and 1000 desks at$360 each, then the total revenue would be $120,000 +$360,000 = $480,000. However, the price of Model B is MORE than$360 AND we actually sold far MORE Model B desks than Model A desks. Thus, the revenue would be a LOT higher than $480,000. There's only one answer that fits... Final Answer: E GMAT assassins aren't born, they're made, Rich ### GMAT/MBA Expert GMAT Instructor Joined 09 Oct 2010 Posted: 1449 messages Followed by: 32 members Upvotes: 59 AAPL wrote: Official Guide A furniture store sells only two models of desks, model A and model B. The selling price of model A is$120, which is 30 percent of the selling price of the model B. If the furniture store sells 2,000 desks, 3/4 of which are model B, what is the furniture store's total revenue from the sale of desks?

A. $114,000 B.$186,000
C. $294,000 D.$380,000
E. $660,000 $$\left\{ \matrix{ {\rm{model}}\,A\,:\,\,\,\,A = {1 \over 4}\left( {2000} \right) = 500\,\,{\rm{units}}\,\,,\,\,\ 120/{\rm{unit}} \hfill \cr {\rm{model}}\,{\rm{B}}\,{\rm{:}}\,\,\,\,B = 1500\,\,{\rm{units}}\,\,,\,\,{\rm{\ }}{{120} \over {0.3}} = 400/{\rm{unit}} \hfill \cr} \right.$$ $$? = 500 \cdot \left( {120 + 3 \cdot 400} \right) = 60 \cdot {10^3} + 60 \cdot {10^4} = 66 \cdot {10^4}\,\,\,\left[ \ \right]$$ This solution follows the notations and rationale taught in the GMATH method. Regards, Fabio. _________________ Fabio Skilnik :: GMATH method creator ( Math for the GMAT) English-speakers :: https://www.gmath.net Portuguese-speakers :: https://www.gmath.com.br ### GMAT/MBA Expert GMAT Instructor Joined 25 Apr 2015 Posted: 2624 messages Followed by: 18 members Upvotes: 43 AAPL wrote: Official Guide A furniture store sells only two models of desks, model A and model B. The selling price of model A is$120, which is 30 percent of the selling price of the model B. If the furniture store sells 2,000 desks, 3/4 of which are model B, what is the furniture store's total revenue from the sale of desks?

A. $114,000 B.$186,000
C. $294,000 D.$380,000
E. $660,000 OA E. We are given that the selling price of model A is$120, which is 30% of the selling price of model B. Thus, the selling price of model B is:

(0.3)B = 120

B = 120/0.3 = $400 We are also given that (3/4)(2,000) = 1500 model B desks were sold, and thus 2,000 - 1500 = 500 model A desks were sold. Therefore, the total revenue for the desks is (120 x 500) + (400 x 1500) = 60,000 + 600,000 =$660,000.

Answer: E

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