Carcass wrote:
A car manufacturer produced a car at a cost of d dollars and sold it to a dealer at a price 20 percent higher than the production cost. If the dealer sold the car to a consumer for 15 percent more than the dealer paid for it, what did the car cost the consumer, in dollars?
A) 1.05d
B) 1.23d
C) 1.30d
D) 1.35d
E) 1.38d
I would typically solve this questioning the same way Sandy did. However, here is an algebraic approach:
A car manufacturer produced a car at a cost of d dollars and sold it to a dealer at a price 20 percent higher than the production cost. Dealer price = (cost price) + (20% of cost price)
Dealer price = d + (20% of d)
Dealer price = 1d + 0.2d
Dealer price = 1.2d
If the dealer sold the car to a consumer for 15 percent more than the dealer paid for it, what did the car cost the consumer, in dollars?Consumer price = (dealer price) + (15% of dealer price)
Consumer price = (1.2d) + (15% of 1.2d)
Consumer price = (1.2d) + (0.15)(1.2d)
Consumer price = (1.2d) + (0.18d)
Consumer price = 1.38d
Answer: E
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Brent Hanneson - founder of Greenlight Test Prep