Stella paid $1,500 for a computer after receiving a 20

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VJesus12: Legendary Member; Posts: 2276; Joined: Sat Oct 14, 2017 6:10 amFollowed by: 3 members

by VJesus12 » Mon May 14, 2018 1:24 am

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Stella paid $1,500 for a computer after receiving a 20 percent discount. What was the price of the computer before the discount?

(A) $300
(B) $1,500
(C) $1,875
(D) $2,000
(E) $3,000

The OA is the option C .

What is the conversion that I should use to get the total price? I'd appreciate any help.<i class="em em-tired_face "></i>

Source: Beat The GMAT — Problem Solving | Mon May 14, 2018 1:24 am

Vincen: Legendary Member; Posts: 2898; Joined: Thu Sep 07, 2017 2:49 pmFollowed by: 5 members; Thanked: 6 times

by Vincen » Mon May 14, 2018 2:35 am

VJesus12 wrote:Stella paid $1,500 for a computer after receiving a 20 percent discount. What was the price of the computer before the discount?

(A) $300
(B) $1,500
(C) $1,875
(D) $2,000
(E) $3,000

The OA is the option C .

What is the conversion that I should use to get the total price? I'd appreciate any help.<i class="em em-tired_face "></i>

Hello vjesus12.

Since Stella received a 20 percent discount, then she paid 80% of the total value. Therefore, if x is the total price, then we have that: $$80\%\cdot x=1500$$ $$\Rightarrow\ \ \frac{80}{100}\cdot x=1500$$ $$\Rightarrow\ \ \frac{4}{5}\cdot x=1500$$ $$\Rightarrow\ \ x=1875\ \ \ dollars$$ Therefore, the price of the computer before the discount was $1,875.

Hence, the correct answer is the option C.

I hope it can help you.

GMAT/MBA Expert

[email protected]: Elite Legendary Member; Posts: 10391; Joined: Sun Jun 23, 2013 6:38 pmFollowed by: 511 members; Location: Palo Alto, CA; Thanked: 2867 times; GMAT Score:800

by [email protected] » Mon May 14, 2018 11:29 am

Hi VJesus12,

We're told that Stella paid $1,500 for a computer AFTER receiving a 20 percent discount. We're asked for the price of the computer BEFORE the discount. This question can be solved by TESTing THE ANSWERS.

Since $1500 is the price AFTER the discount, the original price must be MORE than $1500. We can eliminate Answers A and B. Let's TEST Answer D...

Answer D: $2000
IF the original price was $2000, then....
20% of 2000 = (.2)(2000) = 400...
The discounted price would be 2000 - 400 = $1600
However, that price is TOO HIGH (it's supposed to be $1500), so the original price of the computer has to be LESS than $2000. There's only one answer that 'fits.'

Final Answer: C

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

Contact Rich at [email protected]

Jeff@TargetTestPrep: GMAT Instructor; Posts: 1462; Joined: Thu Apr 09, 2015 9:34 amFollowed by: 22 members; Location: New York, NY; Thanked: 39 times

by Jeff@TargetTestPrep » Tue May 15, 2018 3:41 pm

VJesus12 wrote:Stella paid $1,500 for a computer after receiving a 20 percent discount. What was the price of the computer before the discount?

(A) $300
(B) $1,500
(C) $1,875
(D) $2,000
(E) $3,000

We can let n = the original price and create the equation:

0.8n = 1500

n = 1875

Answer: C

Jeffrey Miller
Head of GMAT Instruction
[email protected]

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