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The average television prime-time advertising unit of 30

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by Jay@ManhattanReview » Sun Aug 26, 2018 9:22 am
AAPL wrote:Princeton Review

The average television prime-time advertising unit 30 seconds cost $30,000 in 1973 and $50,000 in 1977. What was the approximate percent increase in the cost of a unit?

A. 20%
B. 33%
C. 40%
D. 60%
E. 67%

OA E
The approximate percent increase in the cost of a unit = [(50,000 - 30,000) / 30,000]*100% = 66.67% = ~67%

The correct answer: E

Hope this helps!

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by deloitte247 » Sat Sep 01, 2018 1:54 pm
In 1973 30 seconds = $30,000
In 1977 30 seconds = $50,000
$$Percentage\ increase\ =\ \frac{\left(\cos t\ in\ 1977\ -\ \cos t\ in\ 1973\right)}{\cos t\ in\ 1973}\cdot\ \frac{100}{1}$$
$$\frac{\left($50,000\ -\ $30,000\right)}{$30,000}\ \cdot\ \frac{100}{1}$$
$$\frac{\left($20,000\right)}{$30,000}\cdot\ \frac{100}{1}$$
= 0.67 * 100
= 67%
Final Option is E.
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by Jeff@TargetTestPrep » Tue Sep 04, 2018 3:24 am
AAPL wrote:Princeton Review

The average television prime-time advertising unit 30 seconds cost $30,000 in 1973 and $50,000 in 1977. What was the approximate percent increase in the cost of a unit?

A. 20%
B. 33%
C. 40%
D. 60%
E. 67%
We can use the percent change formula:

(New - Old)/Old x 100

(50,000 - 30,000)/30,000 x 100

20,000/30,000 x 100

2/3 x 100

200/3 ≈ 67

Answer: E

Jeffrey Miller
Head of GMAT Instruction
[email protected]

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by Brent@GMATPrepNow » Tue Sep 04, 2018 5:35 am
AAPL wrote:Princeton Review

The average television prime-time advertising unit 30 seconds cost $30,000 in 1973 and $50,000 in 1977. What was the approximate percent increase in the cost of a unit?

A. 20%
B. 33%
C. 40%
D. 60%
E. 67%

OA E
We can also quickly solve this question by testing the answer choices....

Start with C (40%)
40% of $30,000 = $12,000
So, a 40% increase (from 1973 to 1977) = $30,000 + $12000 = $42,000
No good. We need to new amount to be $50,000
ELIMINATE C
Since $42,000 is less than $50,000, we need a BIGGER percent increase.
So, we can also ELIMINATE A and B

Now try either D or E

Let's try D (60%)
60% of $30,000 = $18,000
So, a 60% increase (from 1973 to 1977) = $30,000 + $18000 = $48,000
No good. We need to new amount to be $50,000
ELIMINATE D

By the process of elimination , the correct answer must be E

Cheers,
Brent
Brent Hanneson - Creator of GMATPrepNow.com
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