sachindia wrote: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
To save time, try to plug in combinations that satisfy both statements.
Let p1 = 100 and t1 = 20, so that p1t1 = 100*20 = 2000.
Let p2 = 100 and t2 = 10, so that p2t2 = 100*10 = 1000.
A = p1 + (t1% of p1) = 100 + (20% of 100) = 120.
B = p2 + (t2% of p2) = 100 + (10% of 100) = 110.
A>B.
Let p1 = 100 and t1 = 20, so that p1t1 = 100*20 = 2000.
Let p2 = 110 and t2 = 10, so that p2t2 = 110*10 = 1100.
A = p1 + (t1% of p1) = 100 + (20% of 100) = 120.
B = p2 + (t2% of p2) = 110 + (10% of 110) = 121.
A<B.
Since A>B in the first case and A<B in the second case, the two statements combined are INSUFFICIENT.
The correct answer is
E.
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