The original price of a certain Television set is discounted

Expert replies

Previous Topic Next Topic

alanforde800Maximus: Master | Next Rank: 500 Posts; Posts: 187; Joined: Tue Sep 13, 2016 12:46 am

by alanforde800Maximus » Thu May 10, 2018 1:07 am

Timer

00:00

Your answer

Difficulty–

right wrong

Pick an answer to see how members did

The original price of a certain Television set is discounted by x percent, and the reduced price is then discounted by 2x percent. If P is the original price of the television Set, which of the following represents the price of the television set after the two successive discounts?

A: P(1 - 0.03x + 0.02x^2)
B: P(1 - 0.03x + 0.0002x^2)
C: P(1 - 0.3x + 0.002x^2)
D: P(1 - 2x^2)
E: P(1 - 3x + 2x^2)

Source :- Question Pack 1.

Source: Beat The GMAT — Problem Solving | Thu May 10, 2018 1:07 am

GMATGuruNY: GMAT Instructor; Posts: 15539; Joined: Tue May 25, 2010 12:04 pmFollowed by: 1906 members; Location: New York, NY; Thanked: 13060 times; GMAT Score:790

by GMATGuruNY » Thu May 10, 2018 2:46 am

alanforde800Maximus wrote:The original price of a certain Television set is discounted by x percent, and the reduced price is then discounted by 2x percent. If P is the original price of the television Set, which of the following represents the price of the television set after the two successive discounts?

A: P(1 - 0.03x + 0.02x^2)
B: P(1 - 0.03x + 0.0002x^2)
C: P(1 - 0.3x + 0.002x^2)
D: P(1 - 2x^2)
E: P(1 - 3x + 2x^2)

Let P = 100 and x = 10, implying that 2x = 20.
Price after an x% discount = 100 - (10% of 100) = 100 - 10 = 90.
Price after a 2x% discount = 90 - (20% of 90) = 90 - 18 = 72.

The correct answer must yield a resulting price of $72 when x=10.
Only B works:
100(1 - 0.03*10 + 0.0002*10²) = 100(1 - 0.3 + 0.02) = 100(0.72) = 72.

The correct answer is B.

Private tutor exclusively for the GMAT and GRE, with over 20 years of experience.
Followed here and elsewhere by over 1900 test-takers.
I have worked with students based in the US, Australia, Taiwan, China, Tajikistan, Kuwait, Saudi Arabia -- a long list of countries.
My students have been admitted to HBS, CBS, Tuck, Yale, Stern, Fuqua -- a long list of top programs.

As a tutor, I don't simply teach you how I would approach problems.
I unlock the best way for YOU to solve problems.

For more information, please email me (Mitch Hunt) at [email protected].
Student Review #1
Student Review #2
Student Review #3

swerve: Legendary Member; Posts: 2604; Joined: Sun Oct 29, 2017 2:04 pmFollowed by: 6 members

by swerve » Thu May 10, 2018 10:42 am

You can solve this problem with number plugging.

Say the original price was $10 and x = 50. Then after the first reduction, the price would become $5 and after the second reduction of 2*50 = 100%, the price would become $0.

Now, since P is not zero, then the expression in the brackets must be must be zero for x = 50. Only answer choice B works.

Regards!

GMAT/MBA Expert

Scott@TargetTestPrep: GMAT Instructor; Posts: 8246; Joined: Sat Apr 25, 2015 10:56 amFollowed by: 29 members; Location: Los Angeles, CA; Thanked: 43 times

by Scott@TargetTestPrep » Sun May 13, 2018 5:01 pm

alanforde800Maximus wrote:The original price of a certain Television set is discounted by x percent, and the reduced price is then discounted by 2x percent. If P is the original price of the television Set, which of the following represents the price of the television set after the two successive discounts?

A: P(1 - 0.03x + 0.02x^2)
B: P(1 - 0.03x + 0.0002x^2)
C: P(1 - 0.3x + 0.002x^2)
D: P(1 - 2x^2)
E: P(1 - 3x + 2x^2)

We can create the expression:

P(1 - x/100)(1 - 2x/100)

P(1 - 3x/100 + 2x^2/10000)

P(1 - 0.03x + 0.0002x^2)

Answer: B

Scott Woodbury-Stewart
Founder and CEO
[email protected]

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

Featured schoolRound 2 closes Jan 7, 2027 53 days left

Chicago Booth

Since 1982, 10 Booth faculty members have received the Nobel Prize in Economic Sciences, more than any other business school.

#3
U.S. News rank: $175,000
Median base salary: 670
Average GMAT Focus: 635
Students in the class

Apply to Booth Visit chicagobooth.edu See the full profile

Photo: Warren LeMay, CC BY-SA 2.0

GMAT Course Reviews

563 reviews

1168 reviews

431 reviews

359 reviews

147 reviews

5/5

5 Star (563 Reviews)

"Target Test Prep is the closest to the official version of the GMAT exam, about 99% accuracy in terms of the quality and quantity of information. The course has excellently created singular sets of focused lessons and tests for every possible topic that one could come across in the official GMAT exam."

"The TTP course maximizes the efficiency of the time you spend studying. It will take time and effort but I could almost guarantee that if you complete the course exactly as it is laid out you will get an amazing score. They also have a very responsive team willing to help with any questions you might have."

"TTP has two things that I think no other test prep company offers: A teaching approach that reinforces understanding and an attitude that will give you the mental preparedness needed to succeed on the test. TTP gives you a deep understanding of the concept you need to know while teaching you how to think."

Write a Review