Problem Solving

Hi All,

We're told that a retailer purchased eggs at $2.80 per dozen and sold the eggs at 3 eggs for $0.90. We're asked for the retailer's gross profit from purchasing and selling 5 dozen eggs(1 dozen eggs = 12 eggs). There are a couple of different ways to go about doing the work here (and a certain amount of Arithmetic is required).

Since 3 eggs are sold for $0.90, we know that a dozen eggs will be sold for (4)($0.90) = $3.60.
Thus, each dozen eggs sold will yield a PROFIT of $3.60 - $2.80 = $0.80.
With 5 dozen eggs, the profit will be (5)($0.80) = $4.00

Final Answer: C

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

BTGmoderatorDC wrote:A retailer purchased eggs at $2.80 per dozen and sold the eggs at 3 eggs for $0.90. What was the retailer's gross profit from purchasing and selling 5 dozen eggs? (1 dozen eggs = 12 eggs)


A. $0.90

B. $2.40

C. $4.00

D. $11.30

E. $12.00

We see that the retailer sold each egg for $0.90/3 = $0.30, and hence sold the eggs for $0.30 x 12 = $3.60 per dozen. Thus, the profit per dozen of eggs is 3.60 - 2.80 = $0.80, and so the gross profit for 5 dozen eggs is 0.80 x 5 = $4.00.

Answer: C