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Al's discount store furnitures

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Al's discount store furnitures

by gmattesttaker2 » Sat Sep 14, 2013 1:52 pm
Hello,

This is from MGMAT. Can you please assist:

All of the furniture for sale at Al's Discount Furniture is offered for less than the manufacturer's suggested retail price (MSRP). Once a year, Al's holds a clearance sale. If Jamie purchased a certain desk during the sale, did she get a discount of more than 50% of Al's regular price for the desk?

(1) Al's regular price for the desk is less than 60% of the MSRP of $2,000.

(2) The sale price was $600 less than Al's regular price for the desk.


OA: C
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Source: — Data Sufficiency |
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by GMATGuruNY » Sun Sep 15, 2013 9:53 am
gmattesttaker2 wrote:Hello,

This is from MGMAT. Can you please assist:

All of the furniture for sale at Al's Discount Furniture is offered for less than the manufacturer's suggested retail price (MSRP). Once a year, Al's holds a clearance sale. If Jamie purchased a certain desk during the sale, did she get a discount of more than 50% of Al's regular price for the desk?

(1) Al's regular price for the desk is less than 60% of the MSRP of $2,000.

(2) The sale price was $600 less than Al's regular price for the desk.

OA: C
Let R = the regular price and D = the discount.

Statement 1: Al's regular price for the desk is less than 60% of the MSRP of $2,000.
R < .6 * 2000
R < 1200.
No information about D.
INSUFFICIENT.

Statement 2: The sale price was $600 less than Al's regular price for the desk.
Thus, D=600.
No information about R.
INSUFFICIENT.

Statements combined:
Plug in the THRESHOLD for R.
Then try smaller values.

If R=1200, then D/R * 100 = 600/1200 * 100 = 50%

If R=1000, then D/R * 100 = 600/1000 * 100 = 60%.

If R=800, then D/R * 100 = 600/800 * 100 = 75%.

Notice the pattern: As the value of R DECREASES, the discount percentage INCREASES.
Thus, for every value of R less than the threshold of 1200, the discount percentage will be GREATER THAN 50%.
SUFFICIENT.

The correct answer is C.
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