• NEW! FREE Beat The GMAT Quizzes
    NEW! FREE Beat The GMAT Quizzes
    NEW! FREE Beat The GMAT Quizzes
    Hundreds of Questions Highly Detailed Reporting Expert Explanations TAKE A FREE GMAT QUIZ
  • 7 CATs FREE!
    If you earn 100 Forum Points

    Engage in the Beat The GMAT forums to earn
    100 points for $49 worth of Veritas practice GMATs FREE

    Veritas Prep
    VERITAS PRACTICE GMAT EXAMS
    Earn 10 Points Per Post
    Earn 10 Points Per Thanks
    Earn 10 Points Per Upvote
    REDEEM NOW

The inflation index for the year 1989 relative to the year

This topic has 2 expert replies and 0 member replies

The inflation index for the year 1989 relative to the year

Post

Timer

00:00

Your Answer

A

B

C

D

E

Global Stats

Difficult



Official Guide

The inflation index for the year 1989 relative to the year 1970 was 3.56, indicating that, on the average, for each dollar spent in 1970 for goods, $3.56 had to be spent for the same goods in 1989. If the price of a Model K mixer increased precisely according to the inflation index, what was the price of the mixer in 1970?

1) The price of the Model K mixer was $102.40 more in 1989 than in 1970.
2) The price of the Model K mixer was $142.40 in 1989.

OA D.

  • +1 Upvote Post
  • Quote
  • Flag
Post
AAPL wrote:
Official Guide

The inflation index for the year 1989 relative to the year 1970 was 3.56, indicating that, on the average, for each dollar spent in 1970 for goods, $3.56 had to be spent for the same goods in 1989. If the price of a Model K mixer increased precisely according to the inflation index, what was the price of the mixer in 1970?

1) The price of the Model K mixer was $102.40 more in 1989 than in 1970.
2) The price of the Model K mixer was $142.40 in 1989.
$${{{\rm{pric}}{{\rm{e}}_{\,70}}} \over {{\rm{price}}{\,_{89}}}} = {1 \over {3.56}}\,\,\,\,\,\,\left( * \right)$$
$$?\,\, = {\rm{pric}}{{\rm{e}}_{\,70}}$$
$$\left( 1 \right)\,\,\,{\rm{pric}}{{\rm{e}}_{\,89}} - {\rm{pric}}{{\rm{e}}_{\,70}} = 102.40\,\,\,\,\,\mathop \Rightarrow \limits^{\left( * \right)} \,\,\,\,3.56 \cdot {\rm{pric}}{{\rm{e}}_{\,70}} - {\rm{pric}}{{\rm{e}}_{\,70}} = 102.40\,\,\,\,\, \Rightarrow \,\,\,\,{\rm{SUFF}}.\,$$
$$\left( 2 \right)\,\,\,{\rm{pric}}{{\rm{e}}_{\,89}} = 142.40\,\,\,\,\,\mathop \Rightarrow \limits^{\left( * \right)} \,\,\,\,\,3.56 \cdot {\rm{pric}}{{\rm{e}}_{\,70}}\, = 142.40\,\,\,\,\, \Rightarrow \,\,\,\,\,{\rm{SUFF}}.\,$$

This solution follows the notations and rationale taught in the GMATH method.

Regards,
Fabio.

_________________
Fabio Skilnik :: GMATH method creator ( Math for the GMAT)
English-speakers :: https://www.gmath.net
Portuguese-speakers :: https://www.gmath.com.br

  • +1 Upvote Post
  • Quote
  • Flag
Post
AAPL wrote:
Official Guide

The inflation index for the year 1989 relative to the year 1970 was 3.56, indicating that, on the average, for each dollar spent in 1970 for goods, $3.56 had to be spent for the same goods in 1989. If the price of a Model K mixer increased precisely according to the inflation index, what was the price of the mixer in 1970?

1) The price of the Model K mixer was $102.40 more in 1989 than in 1970.
2) The price of the Model K mixer was $142.40 in 1989.
We are given that the inflation for the year 1989 relative to the year 1970 was 3.56, which means the price of an item in 1989 was 3.56 times the price of the same item in 1970. We are also given that the price of a Model K mixer increased according to the given inflation index, and from that we must determine the price of the mixer in 1970.

If we let x = the price of the Model K mixer in 1970, then the price of the Model K mixer in 1989 is 3.56x. Thus, we must determine the value of x.

Statement One Alone:

The price of the Model K mixer was $102.40 more in 1989 than in 1970.

Using the information in statement one, we can create the following equation:

3.56x = 102.40 + x

We see that we have enough information to determine the value of x. Statement one alone is sufficient to answer the question.

Statement Two Alone:

The price of the Model K mixer was $142.40 in 1989.

Using the information in statement two we can create the following equation:

3.56x = 142.40

We see that we have enough information to determine the value of x.

Answer: D

_________________

Scott Woodbury-Stewart
Founder and CEO
scott@targettestprep.com



See why Target Test Prep is rated 5 out of 5 stars on BEAT the GMAT. Read our reviews

  • +1 Upvote Post
  • Quote
  • Flag
  • The Princeton Review
    FREE GMAT Exam
    Know how you'd score today for $0

    Available with Beat the GMAT members only code

    MORE DETAILS
    The Princeton Review
  • Economist Test Prep
    Free Trial & Practice Exam
    BEAT THE GMAT EXCLUSIVE

    Available with Beat the GMAT members only code

    MORE DETAILS
    Economist Test Prep
  • Magoosh
    Magoosh
    Study with Magoosh GMAT prep

    Available with Beat the GMAT members only code

    MORE DETAILS
    Magoosh
  • EMPOWERgmat Slider
    1 Hour Free
    BEAT THE GMAT EXCLUSIVE

    Available with Beat the GMAT members only code

    MORE DETAILS
    EMPOWERgmat Slider
  • e-gmat Exclusive Offer
    Get 300+ Practice Questions
    25 Video lessons and 6 Webinars for FREE

    Available with Beat the GMAT members only code

    MORE DETAILS
    e-gmat Exclusive Offer
  • Varsity Tutors
    Award-winning private GMAT tutoring
    Register now and save up to $200

    Available with Beat the GMAT members only code

    MORE DETAILS
    Varsity Tutors
  • Target Test Prep
    5-Day Free Trial
    5-day free, full-access trial TTP Quant

    Available with Beat the GMAT members only code

    MORE DETAILS
    Target Test Prep
  • Veritas Prep
    Free Veritas GMAT Class
    Experience Lesson 1 Live Free

    Available with Beat the GMAT members only code

    MORE DETAILS
    Veritas Prep
  • PrepScholar GMAT
    5 Day FREE Trial
    Study Smarter, Not Harder

    Available with Beat the GMAT members only code

    MORE DETAILS
    PrepScholar GMAT
  • Kaplan Test Prep
    Free Practice Test & Review
    How would you score if you took the GMAT

    Available with Beat the GMAT members only code

    MORE DETAILS
    Kaplan Test Prep

Top First Responders*

1 Jay@ManhattanReview 70 first replies
2 Brent@GMATPrepNow 67 first replies
3 GMATGuruNY 41 first replies
4 Ian Stewart 27 first replies
5 Scott@TargetTestPrep 16 first replies
* Only counts replies to topics started in last 30 days
See More Top Beat The GMAT Members

Most Active Experts

1 image description Scott@TargetTestPrep

Target Test Prep

221 posts
2 image description Brent@GMATPrepNow

GMAT Prep Now Teacher

93 posts
3 image description Max@Math Revolution

Math Revolution

89 posts
4 image description Jay@ManhattanReview

Manhattan Review

73 posts
5 image description GMATGuruNY

The Princeton Review Teacher

64 posts
See More Top Beat The GMAT Experts