Company K's Earnings - Challenge question - The Beat The GMAT Forum

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Company K's Earnings - Challenge question

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aat0995: Newbie | Next Rank: 10 Posts; Posts: 3; Joined: Wed Jul 18, 2007 3:37 pm

Company K's Earnings - Challenge question

by aat0995 » Sun Dec 28, 2008 11:07 am

Company K's earnings were $12 million last year. If this year's earnings were projected to be 150 percent greater than last year's earnings, what are company k's projected earnings this year?

a. $13.5 mil
b. $15 mil
c. $18 mil
d. $27 mil
e. $30 mil

e. Please explain your answer! Thanks

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Source: Beat The GMAT — Problem Solving | Sun Dec 28, 2008 11:07 am

vivek.kapoor83: Legendary Member; Posts: 833; Joined: Mon Aug 04, 2008 1:56 am; Thanked: 13 times

by vivek.kapoor83 » Sun Dec 28, 2008 11:12 am

earnings are 12 million
50% = 6 million

and 100 % = 12 miilion
So,
if earning is 100% greater , then total earning = 12 +12 = 24 million
adding 50% to make it 150% , total - 30 million.E

Note : Remember, here it is not saying..earning would be 150% of previous yr. it says it would be 150% greater.SO, u hv to add previous yr 12 million also

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aat0995: Newbie | Next Rank: 10 Posts; Posts: 3; Joined: Wed Jul 18, 2007 3:37 pm

by aat0995 » Sun Dec 28, 2008 11:19 am

Thanks! But I am still a little bit confused as to when to add $12 + $18 and when not to add.

150% => (150*12)/100. And that's how we do a lot of % questions right? Imagine if this was a vic.

Did word "greater than" make this difference?

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aat0995: Newbie | Next Rank: 10 Posts; Posts: 3; Joined: Wed Jul 18, 2007 3:37 pm

by aat0995 » Sun Dec 28, 2008 11:28 am

Thanks! Got it.

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Scott@TargetTestPrep: GMAT Instructor; Posts: 8086; Joined: Sat Apr 25, 2015 10:56 am; Location: Los Angeles, CA; Thanked: 43 times; Followed by:29 members

by Scott@TargetTestPrep » Fri Dec 15, 2017 6:08 am

aat0995 wrote:Company K's earnings were $12 million last year. If this year's earnings were projected to be 150 percent greater than last year's earnings, what are company k's projected earnings this year?

a. $13.5 mil
b. $15 mil
c. $18 mil
d. $27 mil
e. $30 mil

Since this year's earnings are projected to be 150% greater than last year's earnings of 12 million, this year's earnings are projected to be 2.5(12) = 30 million dollars.

Answer: E

Scott Woodbury-Stewart
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