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Exam pack 2 DS - Tricky

Expert replies
Source: — Data Sufficiency |

by [email protected] » Fri May 20, 2016 9:54 am
Hi Neilsheth2,

We're given the formula C(X) = 10,000 + BX + AX^2, where A and B are constants, C is the 'cost' and X is the number of units. We're asked for the value of A.

1) 500 units cost $15,833

Using this information, we can plug in these values to the given equation...

15,833 = 10,000 + B(500) + A(500^2)
5,833 = 500B + 2500A

This is one equation with two variables. There are multiple possible values for A.
Fact 1 is INSUFFICIENT

2) 1000 units costs TWICE what 500 units cost.

Using this information, we can create the following big equation.

[10,000 + B(1000) + A(1000^2)] = 2[10,000 + B(500) + A(500^2]

Now we can simplify and combine like terms:

10,000 + 1000B + 1,000,000A = 20,000 + 1000B + 500000A
500,000A = 10,000
A = 10,000/500,000
A = 1/50
Fact 2 is SUFFICIENT

Final Answer: B

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Rich
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by OptimusPrep » Sat May 21, 2016 7:44 pm
Neilsheth2 wrote:How is the OA B

Is this is a C trap question?
Given: C(x) = 10000 + bx + ax^2
Required: a = 2?

Statement 1: c(500) = 15833

15833 = 10000 + b*500 + a(500)^2
Clearly we cannot solve for a
INSUFFICIENT

Statement 2: c(1000) = 2*C(500)
10,000 + b(1000) + a(1000^2)] = 2[10,000 + b(500) + a(500^2)]
10000 + 1000b + 1000000a = 20000 + 1000b + 2*(500)^2*a

We can cancel out 1000b from both sides and have an equation is terms of a.
Thus we can solve for a.
SUFFICIENT

Correct Option: B

NOTE: If you do not solve fully for statement 2, you can fall in the C-Trap
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