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Why not the answer is D?

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by phanikpk » Sat Jul 12, 2014 5:35 pm
The price of a television set was reduced by 25 percent. What was its original price?
(1) The reduced price was $187.50.
(2) The original price exceeded the reduced price by more than $60.00
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Source: — Data Sufficiency |

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by Brent@GMATPrepNow » Sat Jul 12, 2014 5:55 pm
phanikpk wrote:The price of a television set was reduced by 25 percent. What was its original price?

(1) The reduced price was $187.50.
(2) The original price exceeded the reduced price by more than $60.00
Target question: What was its original price?

Given: The price of a television set was reduced by 25 percent.

Statement 1: The reduced price was $187.50.
Let x = original price
It is given that the price of a television set was reduced by 25 percent. So, the reduced price = 0.75x
Statement 1 tells us that 0.75x = 187.50
Since we COULD solve this equation for x, we COULD answer the target question with certainty.
So, statement 1 is SUFFICIENT

Statement 2: The original price exceeded the reduced price MORE THAN than $60.00
There are MANY different scenarios that satisfy this condition. Here are two:
Case a: the original price is $1000. So, a 25% price reduction means the reduced price is $750. Notice that the original price exceeds the reduced price MORE THAN than $60.00. In this case, the original price is $1000
Case b: the original price is $800. So, a 25% price reduction means the reduced price is $600. Notice that the original price exceeds the reduced price MORE THAN than $60.00. In this case, the original price is $800
Since we cannot answer the target question with certainty, statement 2 is NOT SUFFICIENT

Answer = A

Cheers,
Brent
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by phanikpk » Sat Jul 12, 2014 5:57 pm
Brent@GMATPrepNow wrote:
phanikpk wrote:The price of a television set was reduced by 25 percent. What was its original price?

(1) The reduced price was $187.50.
(2) The original price exceeded the reduced price by more than $60.00
Target question: What was its original price?

Given: The price of a television set was reduced by 25 percent.

Statement 1: The reduced price was $187.50.
Let x = original price
It is given that the price of a television set was reduced by 25 percent. So, the reduced price = 0.75x
Statement 1 tells us that 0.75x = 187.50
Since we COULD solve this equation for x, we COULD answer the target question with certainty.
So, statement 1 is SUFFICIENT

Statement 2: The original price exceeded the reduced price MORE THAN than $60.00
There are MANY different scenarios that satisfy this condition. Here are two:
Case a: the original price is $1000. So, a 25% price reduction means the reduced price is $750. Notice that the original price exceeds the reduced price MORE THAN than $60.00. In this case, the original price is $1000
Case b: the original price is $800. So, a 25% price reduction means the reduced price is $600. Notice that the original price exceeds the reduced price MORE THAN than $60.00. In this case, the original price is $800
Since we cannot answer the target question with certainty, statement 2 is NOT SUFFICIENT

Answer = A

Cheers,
Brent
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by GMATinsight » Sun Jul 13, 2014 10:00 am
The price of a television set was reduced by 25 percent. What was its original price?
(1) The reduced price was $187.50.
(2) The original price exceeded the reduced price by more than $60.00
If the original price = a
Then reduced price = 0.75a

Statement 1) 0.75a = 187.5
i.e. a = 250 SUFFICIENT

Statement 2) The original price exceeded the reduced price by more than $60.00

a - 0.75a > $60
which means, 0.25a >$60
i.e. a > $240
But the value of a is still unknown therefore INSUFFICIENT

Answer: Option A
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by Brent@GMATPrepNow » Mon Jan 15, 2018 9:21 am
phanikpk wrote:The price of a television set was reduced by 25 percent. What was its original price?
(1) The reduced price was $187.50.
(2) The original price exceeded the reduced price by more than $60.00
Target question: What was the original price?

Given: The price of a television set was reduced by 25 percent.

Statement 1: The reduced price was $187.50.
Let x = original price
It is given that the price of a television set was reduced by 25 percent. So, the reduced price = 0.75x
Statement 1 tells us that 0.75x = 187.50
Since we COULD solve this equation for x, we COULD answer the target question with certainty.
So, statement 1 is SUFFICIENT

Statement 2: The original price exceeded the reduced price MORE THAN than $60.00
There are MANY different scenarios that satisfy this condition. Here are two:
Case a: the original price is $1000. So, a 25% price reduction means the reduced price is $750. Notice that the original price exceeds the reduced price MORE THAN than $60.00. In this case, the original price is $1000
Case b: the original price is $800. So, a 25% price reduction means the reduced price is $600. Notice that the original price exceeds the reduced price MORE THAN than $60.00. In this case, the original price is $800
Since we cannot answer the target question with certainty, statement 2 is NOT SUFFICIENT

Answer = A

Cheers,
Brent
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