Leo can buy a certain computer for p1 dollars in State A, where the sales tax is t1 percent, or he can
buy the same computer for p2 dollars in State B, where the sales tax is t2 percent. Is the total cost
of the computer greater in State A than in State B?
(1) t1 > t2
(2) p1t1 > p2t2
gmat740 wrote:Hi,
Sorry for opening this thread again. Can anybody provide me another method rather than plugging values.
Thanks
Cost in state A = p1 + p1*t1
cost in state b = p2 + p2*t2
cost difference = (p1-p2) + (p1*t1 - p2*t2)
stmt 1: t1 > t2 - doesn't help in figuring out the above
(as p1 and p2 could be any values)
=> Insufficient
stmt 2 : p1*t1 > p2*t2 - doesn't help (p1,p2,t1,t2 could have different values maintaining the above relationship)
=> Insufficient
St1 + st2
from st1 , t1 > t2 and
from st2 : p1*t1 > p2 t2 => p1*t1 - p2*t2
still doesn't give us info about p1-p2
(e.g. t1 = 2 , t2=1
p1=4,p2=7 gives p1*t1 > p2*t2 , total cost < 0
but with
p1=4 and p2=2 , p1*t1 > p2*t2 , but total cost > 0)
Hence E