• Free Veritas GMAT Class
Experience Lesson 1 Live Free

Available with Beat the GMAT members only code

• Get 300+ Practice Questions

Available with Beat the GMAT members only code

• 1 Hour Free
BEAT THE GMAT EXCLUSIVE

Available with Beat the GMAT members only code

• Most awarded test prep in the world
Now free for 30 days

Available with Beat the GMAT members only code

• 5 Day FREE Trial
Study Smarter, Not Harder

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 Practice Test & Review
How would you score if you took the GMAT

Available with Beat the GMAT members only code

• Magoosh
Study with Magoosh GMAT prep

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

• Award-winning private GMAT tutoring
Register now and save up to $200 Available with Beat the GMAT members only code ## Pie chart This topic has 2 expert replies and 1 member reply talaangoshtari Master | Next Rank: 500 Posts Joined 21 May 2014 Posted: 154 messages Followed by: 1 members Upvotes: 8 #### Pie chart Thu May 07, 2015 8:39 pm Royalty on the book is less than the printing cost by: A. 5% B. 33 1/5% C. 20% D. 25% Attachments This post contains an attachment. You must be logged in to download/view this file. Please login or register as a user. ### GMAT/MBA Expert Rich.C@EMPOWERgmat.com Elite Legendary Member Joined 23 Jun 2013 Posted: 9214 messages Followed by: 473 members Upvotes: 2867 GMAT Score: 800 Fri May 08, 2015 3:11 pm Hi talaangoshtari, Based on the information in the pie chart, we do NOT know the exact price of any of the pieces - we only know the PERCENT of the TOTAL EXPENDITURES that each piece represents. Since we don't know the total expenditures, we have no way of calculating "how much less" one piece is compared to another (this is why I mentioned in my prior post that the question was 'poorly-phrased'). For example, IF....the total expenditures =$100...
Printing = $20 Royalty =$15
Royalty is 20-15 = $5 less IF....the total expenditures =$200...
Printing = $40 Royalty =$30
Royalty is 40-30 = \$10 less

As the total expenditures change, the 'absolute' difference in Printing and Royalty changes.

If the question had asked "what is the difference in the percent of expenses devoted to Printing and the percent of expenses devoted to Royalty?", then the answer would be 5%, but that's NOT how this question was written.

GMAT assassins aren't born, they're made,
Rich

_________________
Contact Rich at Rich.C@empowergmat.com

talaangoshtari Master | Next Rank: 500 Posts
Joined
21 May 2014
Posted:
154 messages
Followed by:
1 members
8
Fri May 08, 2015 9:10 am

### GMAT/MBA Expert

Rich.C@EMPOWERgmat.com Elite Legendary Member
Joined
23 Jun 2013
Posted:
9214 messages
Followed by:
473 members
2867
GMAT Score:
800
Fri May 08, 2015 9:01 am
Hi talaangoshtari,

This question is poorly-phrased, but the "intent" of it is probably to test you on your knowledge of "Percentage Change" (which is a specific formula that you WILL need to know for Test Day).

Percentage Change = (difference)/(original) = (New - Old)/(Old)

From the pie chart, we can see that:
Royalty = 15% of the total cost
Printing = 20% of the total cost

Comparing those two percents (and using the percentage change formula) gives us....

(15 - 20)/(20) = -5/20 = -1/4 = 25% less

GMAT assassins aren't born, they're made,
Rich

_________________
Contact Rich at Rich.C@empowergmat.com

### Best Conversation Starters

1 lheiannie07 108 topics
2 ardz24 68 topics
3 Roland2rule 65 topics
4 LUANDATO 53 topics
5 VJesus12 52 topics
See More Top Beat The GMAT Members...

### Most Active Experts

1 GMATGuruNY

The Princeton Review Teacher

146 posts
2 Jeff@TargetTestPrep

Target Test Prep

119 posts
3 Rich.C@EMPOWERgma...

EMPOWERgmat

114 posts
4 Scott@TargetTestPrep

Target Test Prep

101 posts
5 EconomistGMATTutor

The Economist GMAT Tutor

85 posts
See More Top Beat The GMAT Experts