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bacali: Master | Next Rank: 500 Posts; Posts: 245; Joined: Thu Aug 16, 2007 12:41 pm

Question 12 (nov. 14th)

by bacali » Fri Nov 14, 2008 2:00 pm

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In 1995 a certain store had 1,800 tools in stock that had been purchased for $30 each. If 1,000 of these tools were sold in 1995 for $40 each and the remaining 800 were sold in 1996 for $50 each, how many greater was the gross profit on the tools sold in 1996 than the gross profit on those sold in 1995?

A. $0
B. $6,000
C. $8,000
D. $32,000
E. $40,000

OA: B

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Source: Beat The GMAT — Problem Solving | Fri Nov 14, 2008 2:00 pm

cramya: Legendary Member; Posts: 2467; Joined: Thu Aug 28, 2008 6:14 pm; Thanked: 331 times; Followed by:11 members

by cramya » Fri Nov 14, 2008 2:40 pm

CP -COST PRICE
SP - SELLING PRICE

1995

CP1 = 1000*30 =30000
SP1 = 100*40 = 40000

Profit 1=10000

1996

CP2 = 800*30 =24000
SP2 = 800*50 = 40000

Profit 2=16000

PROFIT 2 - PROFIT 1 = 16000 - 10000 = 6000

B)

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anjaligeorge1: Senior | Next Rank: 100 Posts; Posts: 66; Joined: Wed Feb 20, 2008 6:23 pm; Thanked: 2 times

by anjaligeorge1 » Fri Nov 14, 2008 2:52 pm

The ans is 6000...

Gross Profit of tools sold in 1995 - 1000 *40 - 1000*30 = 10,000
GP of tools sold in 1996 - 800*50 - 800*30 = 16000

grossprofil btween the 2 years = 16000-10000 =6000

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bhumika.k.shah: Legendary Member; Posts: 941; Joined: Sun Dec 27, 2009 12:28 am; Thanked: 20 times; Followed by:1 members

by bhumika.k.shah » Sun Jan 17, 2010 4:13 am

how often do such kind of sums come in the real GMAT ?
any idea?

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Scott@TargetTestPrep: GMAT Instructor; Posts: 8086; Joined: Sat Apr 25, 2015 10:56 am; Location: Los Angeles, CA; Thanked: 43 times; Followed by:29 members

by Scott@TargetTestPrep » Thu Sep 12, 2019 6:24 pm

bacali wrote:In 1995 a certain store had 1,800 tools in stock that had been purchased for $30 each. If 1,000 of these tools were sold in 1995 for $40 each and the remaining 800 were sold in 1996 for $50 each, how many greater was the gross profit on the tools sold in 1996 than the gross profit on those sold in 1995?

A. $0
B. $6,000
C. $8,000
D. $32,000
E. $40,000

OA: B