What is the median?

Hi BlueDragon2010,

The GMAT routinely presents questions that test the thoroughness of your thinking (and this is often the case in DS questions).

Here, we're told that the average price of 3 houses = $120,000; this means that the sum of the 3 houses = $360,000. We're asked for the median value of the 3 houses, which means we need to figure out the "middle" of the 3 values.

Fact 1: Tom's house was $110,000

This tells us that the OTHER 2 houses sum to $250,000.

The 3 houses COULD be:
110,000; 120,000; 130,000 and the median would be $120,000
90,000; 110,000; 160,000 and the median would be $110,000
Fact 1 is INSUFFICIENT

Fact 2: Jane's house was $120,000

This tells us that the OTHER 2 houses sum to $240,000. This is an interesting piece of information because it means that either all the houses cost $120,000 OR one costs more and one costs less than $120,000

The 3 houses COULD be:
100,000; 120,000; 140,000 and the median would be $120,000
120,000; 120,000; 120,000 and the median would be $120,000

No matter how we set the prices, the median is always $120,000
Fact 2 is SUFFICIENT

Final Answer: B

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