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# A shopkeeper purchases birdfeeders for $10 each and s  Question banks Downloads My Bookmarks Reviews Important topics Author Message TAGS: Moderator Joined: 18 Apr 2015 Posts: 4877 Followers: 74 Kudos [?]: 973 [0], given: 4482 A shopkeeper purchases birdfeeders for$10 each and s [#permalink]  27 Jul 2017, 09:59
Expert's post
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Question Stats:

81% (01:19) correct 18% (01:32) wrong based on 11 sessions

A shopkeeper purchases birdfeeders for $10 each and sells them for$18 each. If the cost of the feeders increases by 50% for two months in a row, what is the smallest percent increase the shopkeeper can apply to the selling price in order to avoid selling at a loss?

[Reveal] Spoiler:
25 %

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Re: A shopkeeper purchases birdfeeders for $10 each and s [#permalink] 25 Sep 2017, 06:15 1 This post received KUDOS If the cost increases by 50% for two consecutive months, it becomes (1+0.5)*(1+0.5)*20 = 22.5. Then, in order to avoid a loss, the selling cost must be equal to 22.5. Then, the percent increase in the selling cost should be [(22.5-18)/18]*100 = 25% Director Joined: 20 Apr 2016 Posts: 743 Followers: 6 Kudos [?]: 498 [2] , given: 86 Re: A shopkeeper purchases birdfeeders for$10 each and s [#permalink]  25 Sep 2017, 07:59
2
KUDOS
Carcass wrote:
A shopkeeper purchases birdfeeders for $10 each and sells them for$18 each. If the cost of the feeders increases by 50% for two months in a row, what is the smallest percent increase the shopkeeper can apply to the selling price in order to avoid selling at a loss?

[Reveal] Spoiler:
25 %

We have two times increase in birdfeed price:

for 1st $10 we have $$10+50*\frac{10}{100}$$ = 15 For 2nd price increase we have $$15+15*\frac{50}{100}$$ = 22.5 Now smallest % increase in Selling price should be = $$\frac{(22.5 -18)}{18} *100$$ = 25% _________________ If you found this post useful, please let me know by pressing the Kudos Button Manager Joined: 27 Sep 2017 Posts: 112 Followers: 1 Kudos [?]: 29 [0], given: 4 Re: A shopkeeper purchases birdfeeders for$10 each and s [#permalink]  18 Dec 2017, 19:46
pranab01 wrote:
Carcass wrote:
A shopkeeper purchases birdfeeders for $10 each and sells them for$18 each. If the cost of the feeders increases by 50% for two months in a row, what is the smallest percent increase the shopkeeper can apply to the selling price in order to avoid selling at a loss?

[Reveal] Spoiler:
25 %

We have two times increase in birdfeed price:

for 1st $10 we have $$10+50*\frac{10}{100}$$ = 15 For 2nd price increase we have $$15+15*\frac{50}{100}$$ = 22.5 Now smallest % increase in Selling price should be = $$\frac{(22.5 -18)}{18} *100$$ = 25% I AM a little confused since the cost rises in 2 month in a row, don't we have to consider how much percent increase in ONE month? Moderator Joined: 18 Apr 2015 Posts: 4877 Followers: 74 Kudos [?]: 973 [0], given: 4482 Re: A shopkeeper purchases birdfeeders for$10 each and s [#permalink]  19 Dec 2017, 10:26
Expert's post
No. The stem says just this: 50% the first-month increase, then the second month a more 50% upon the first increase. Pretty straight.

Regards
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Re: A shopkeeper purchases birdfeeders for $10 each and s [#permalink] 19 Dec 2017, 17:10 Carcass wrote: No. The stem says just this: 50% the first-month increase, then the second month a more 50% upon the first increase. Pretty straight. Regards i know what the stem means; problem is that the asnwer should be considered the percent increase in one month or 2? Moderator Joined: 18 Apr 2015 Posts: 4877 Followers: 74 Kudos [?]: 973 [0], given: 4482 Re: A shopkeeper purchases birdfeeders for$10 each and s [#permalink]  20 Dec 2017, 14:55
Expert's post
Peter wrote:
Carcass wrote:
No. The stem says just this: 50% the first-month increase, then the second month a more 50% upon the first increase. Pretty straight.

Regards

i know what the stem means; problem is that the asnwer should be considered the percent increase in one month or 2?

2.

Moreover, the question implies that you do have a threshold over which you must have a gain and not a loss. So, if the shop sells at $18 and in the first month have the increase at$15 , if being this way you have a loss. No matter what.

$$\frac{15-18}{18} = \frac{-3}{18}$$ not possible

Considering the 2 you do have a certain amount (in this case 22.5) minus 18, you can obtain the % for not having a loss but a gain.

The gist of the problem is to find the second amount.

Hope this helps.

Regards
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