• NEW! FREE Beat The GMAT Quizzes
Hundreds of Questions Highly Detailed Reporting Expert Explanations
• 7 CATs FREE!
If you earn 100 Forum Points

Engage in the Beat The GMAT forums to earn
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 ## In the month of August, Pentheus Corporation made$200,000..

tagged by: BTGmoderatorLU

## In the month of August, Pentheus Corporation made $200,000.. In the month of August, Pentheus Corporation made$200,000 in profit. Pentheus made 6% of that profit on the second Wednesday of August. If the profits that day were approximately 14.5% of the revenue for that day, then what was Pentheus's revenue on the second Wednesday of August?

A. $65,536 B.$75,025
C. $77, 922 D.$80,000
E. $82,756 The OA E. I'm really confused with this PS question. Experts, any suggestion about the solution? Thanks in advance. ### GMAT/MBA Expert Legendary Member Joined 14 Jan 2015 Posted: 2667 messages Followed by: 122 members Upvotes: 1153 GMAT Score: 770 Top Reply LUANDATO wrote: In the month of August, Pentheus Corporation made$200,000 in profit. Pentheus made 6% of that profit on the second Wednesday of August. If the profits that day were approximately 14.5% of the revenue for that day, then what was Pentheus's revenue on the second Wednesday of August?

A. $65,536 B.$75,025
C. $77, 922 D.$80,000
E. $82,756 The OA E. I'm really confused with this PS question. Experts, any suggestion about the solution? Thanks in advance. First, 6% of 200,000 is 12,000, so that's the profit earned on the second Wed of August. We're told that this value is 14.5% of the revenue for the day. Meaning that 12,000/Revenue = 14.5%. So when 12,000 is divided by the correct answer, we should get 14.5%. Clearly, you'd want to test D here if you're back-solving.12,000/80,000 = 12/80 = 3/20 = 15%. But we want 14.5% - a smaller value than 15%. - so the denominator must be larger. The correct answer is E _________________ Veritas Prep | GMAT Instructor Veritas Prep Reviews Save$100 off any live Veritas Prep GMAT Course

Enroll in a Veritas Prep GMAT class completely for FREE. Wondering if a GMAT course is right for you? Attend the first class session of an actual GMAT course, either in-person or live online, and see for yourself why so many students choose to work with Veritas Prep. Find a class now!
Master | Next Rank: 500 Posts
Joined
29 Nov 2017
Posted:
100 messages
14
LUANDATO wrote:
In the month of August, Pentheus Corporation made $200,000 in profit. Pentheus made 6% of that profit on the second Wednesday of August. If the profits that day were approximately 14.5% of the revenue for that day, then what was Pentheus's revenue on the second Wednesday of August? A.$65,536
B. $75,025 C.$77, 922
D. $80,000 E.$82,756

The OA E.

I'm really confused with this PS question. Experts, any suggestion about the solution? Thanks in advance.
6% of 200000=12000
Against 14.5 profit the revenue is= 100
Against 12000 profit the revenue is=100*12000/14.5=1200000/14.5
A rough value of this fraction you may get using the table of 15 which
indicates that the value should be more than 80000,
hence option E
Happy?

### GMAT/MBA Expert

GMAT Instructor
Joined
25 Apr 2015
Posted:
2852 messages
Followed by:
18 members
43
LUANDATO wrote:
In the month of August, Pentheus Corporation made $200,000 in profit. Pentheus made 6% of that profit on the second Wednesday of August. If the profits that day were approximately 14.5% of the revenue for that day, then what was Pentheus's revenue on the second Wednesday of August? A.$65,536
B. $75,025 C.$77, 922
D. $80,000 E.$82,756
On the second Wednesday of August, the profit made was 0.06 x 200,000 = 12,000.

Since 12,000 was approximately 14.5% of the revenue for that day, we have:

12,000 = 0.145(revenue)

12,000/0.145 = revenue

Since we can estimate, we see that 12,000/0.15 = 80,000; however, since we are dividing by 0.145, which is a SMALLER NUMBER, we see that our answer must be a bit larger than 80,000, and the only answer that fits is E, 82,756.

_________________

Scott Woodbury-Stewart
Founder and CEO
scott@targettestprep.com

See why Target Test Prep is rated 5 out of 5 stars on BEAT the GMAT. Read our reviews

Senior | Next Rank: 100 Posts
Joined
15 Jan 2018
Posted:
83 messages
P = 0.06 * 200,000 = 12,000

and 12,000 = 0.145 * R

So R = 12,000/0.145 = 12,000,000/145 = 2,400,000/29 (simplified by dividing by 5)

Ignoring the order of magnitude or units:

240/29 > 240/30 = 8
So 240/29 > 8

• Get 300+ Practice Questions

Available with Beat the GMAT members only code

• 5-Day Free Trial
5-day free, full-access trial TTP Quant

Available with Beat the GMAT members only code

• Free Trial & Practice Exam
BEAT THE GMAT EXCLUSIVE

Available with Beat the GMAT members only code

• FREE GMAT Exam
Know how you'd score today for $0 Available with Beat the GMAT members only code • Free Practice Test & Review How would you score if you took the GMAT Available with Beat the GMAT members only code • Award-winning private GMAT tutoring Register now and save up to$200

Available with Beat the GMAT members only code

• Magoosh
Study with Magoosh GMAT prep

Available with Beat the GMAT members only code

• 1 Hour Free
BEAT THE GMAT EXCLUSIVE

Available with Beat the GMAT members only code

• Free Veritas GMAT Class
Experience Lesson 1 Live Free

Available with Beat the GMAT members only code

• 5 Day FREE Trial
Study Smarter, Not Harder

Available with Beat the GMAT members only code

### Top First Responders*

1 Brent@GMATPrepNow 39 first replies
2 Ian Stewart 37 first replies
3 Jay@ManhattanReview 32 first replies
4 GMATGuruNY 26 first replies
5 Scott@TargetTestPrep 15 first replies
* Only counts replies to topics started in last 30 days
See More Top Beat The GMAT Members

### Most Active Experts

1 Scott@TargetTestPrep

Target Test Prep

199 posts
2 Max@Math Revolution

Math Revolution

90 posts
3 Brent@GMATPrepNow

GMAT Prep Now Teacher

71 posts
4 GMATGuruNY

The Princeton Review Teacher

45 posts
5 Ian Stewart

GMATiX Teacher

43 posts
See More Top Beat The GMAT Experts