In a certain business, production index \(p\) is directly proportional to efficiency index \(e,\) which is in turn directly proportional to investment \(i.\) What is \(p\) if \(i = 70?\)
(1) \(e = 0.5\) whenever \(i = 60.\)
(2) \(p = 2.0\) whenever \(i = 50.\)
Answer: B
Source: Official Guide
In a certain business, production index \(p\) is directly proportional to efficiency index \(e,\) which is in turn direc
This topic has expert replies
GMAT/MBA Expert
- Scott@TargetTestPrep
- GMAT Instructor
- Posts: 7294
- Joined: Sat Apr 25, 2015 10:56 am
- Location: Los Angeles, CA
- Thanked: 43 times
- Followed by:29 members
Timer
00:00
Your Answer
A
B
C
D
E
Global Stats
Solution:M7MBA wrote: ↑Thu Jan 07, 2021 10:33 amIn a certain business, production index \(p\) is directly proportional to efficiency index \(e,\) which is in turn directly proportional to investment \(i.\) What is \(p\) if \(i = 70?\)
(1) \(e = 0.5\) whenever \(i = 60.\)
(2) \(p = 2.0\) whenever \(i = 50.\)
Answer: B
Source: Official Guide
We need to determine the value of p when i = 70. We are told that p is directly proportional to e, which is in turn directly proportional to i. Recall that if x is directly proportional to y, then x = ky for some positive constant k.
Therefore, we have p = ke and e = ji for some positive constants k and j. In other words, p = kji, and if we can determine the values of k and j, or the value of kj, then we can determine the value of p.
Statement One Alone:
Since e = ji, we have:
0.5 = j(60)
j = 0.5/60 = 1/120
However, since we still don’t know the value of k, we can’t determine the value of p. Statement one alone is not sufficient.
Statement Two Alone:
Since p = kji, we have:
2.0 = kj(50)
kj = 2/50 = 1/25
Since kj = 1/25 and p = kji, then, if j = 70, we see that p = 1/25 * 70 = 14/5 = 2.8. Statement two alone is sufficient.
Answer: B
Scott Woodbury-Stewart
Founder and CEO
[email protected]
See why Target Test Prep is rated 5 out of 5 stars on BEAT the GMAT. Read our reviews