It is currently 15 Dec 2018, 21:23
My Tests

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

A taxi driver makes $50 an hour, but pays $100 a day rent fo

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 07 Jun 2014
Posts: 4750
GRE 1: Q167 V156
WE: Business Development (Energy and Utilities)
Followers: 93

Kudos [?]: 1663 [0], given: 396

CAT Tests
A taxi driver makes $50 an hour, but pays $100 a day rent fo [#permalink] New post 19 May 2018, 13:44
Expert's post
00:00

Question Stats:

66% (01:00) correct 33% (01:47) wrong based on 6 sessions
A taxi driver makes $50 an hour, but pays $100 a day rent for his taxi and has other costs that amount to $0.50 per mile. If he works three 7-hour days and one 9-hour day and drives a total of 600 miles in one week, what is his profit?

(A) $700
(B) $800
(C) $1,100
(D) $1,200
(E) $1,500
[Reveal] Spoiler: OA

_________________

Sandy
If you found this post useful, please let me know by pressing the Kudos Button

Try our free Online GRE Test

GRE Instructor
User avatar
Joined: 10 Apr 2015
Posts: 1244
Followers: 46

Kudos [?]: 1135 [0], given: 7

Re: A taxi driver makes $50 an hour, but pays $100 a day rent fo [#permalink] New post 27 Nov 2018, 07:17
Expert's post
sandy wrote:
A taxi driver makes $50 an hour, but pays $100 a day rent for his taxi and has other costs that amount to $0.50 per mile. If he works three 7-hour days and one 9-hour day and drives a total of 600 miles in one week, what is his profit?

(A) $700
(B) $800
(C) $1,100
(D) $1,200
(E) $1,500


REVENUE
Taxi driver makes $50 an hour. He works three 7-hour days and one 9-hour day
Total work time = (3)(7) + 9 = 30 hours
TOTAL revenue = (30 hours)($50/hour) = $1500

EXPENSES
Driver pays $100 a day rent for his taxi, and has other costs that amount to $0.50 per mile. He drives a total of 600 miles in one week
4 days of taxi rental = (4)($100) = $400
600 miles at $0.50 per mile = (600)(0.50) = $300
TOTAL expenses = $400 + $300 = $700

What is his profit?
Profit = revenue - expenses
= $1500 - $700
= $800

Answer: B

Cheers,
Brent
_________________

Brent Hanneson – Creator of greenlighttestprep.com
Image
Sign up for our free GRE Question of the Day emails

1 KUDOS received
Intern
Intern
Joined: 03 Dec 2018
Posts: 1
Followers: 0

Kudos [?]: 1 [1] , given: 0

Re: A taxi driver makes $50 an hour, but pays $100 a day rent fo [#permalink] New post 03 Dec 2018, 10:47
1
This post received
KUDOS
How do you know to assume that he only pays rent on each day he actually worked (total of 4 days for 400 dollars) vs 100 dollars a day for the week (7 days totaling 700 dollars)?

I got this right but only after realizing that there was no answer for 1050+450 - 300 for gas and -700 for each day of the week. So then I figured they meant 100 for each day he uses the taxi.
GRE Instructor
User avatar
Joined: 10 Apr 2015
Posts: 1244
Followers: 46

Kudos [?]: 1135 [0], given: 7

Re: A taxi driver makes $50 an hour, but pays $100 a day rent fo [#permalink] New post 03 Dec 2018, 11:32
Expert's post
natdalto wrote:
How do you know to assume that he only pays rent on each day he actually worked (total of 4 days for 400 dollars) vs 100 dollars a day for the week (7 days totaling 700 dollars)?

I got this right but only after realizing that there was no answer for 1050+450 - 300 for gas and -700 for each day of the week. So then I figured they meant 100 for each day he uses the taxi.


Good point!!
Rest assured that, on test day, you will not encounter such ambiguity.

Cheers,
Brent
_________________

Brent Hanneson – Creator of greenlighttestprep.com
Image
Sign up for our free GRE Question of the Day emails

Re: A taxi driver makes $50 an hour, but pays $100 a day rent fo   [#permalink] 03 Dec 2018, 11:32
Display posts from previous: Sort by

A taxi driver makes $50 an hour, but pays $100 a day rent fo

  Question banks Downloads My Bookmarks Reviews Important topics  


GRE Prep Club Forum Home| About| Terms and Conditions and Privacy Policy| GRE Prep Club Rules| Contact

Powered by phpBB © phpBB Group

Kindly note that the GRE® test is a registered trademark of the Educational Testing Service®, and this site has neither been reviewed nor endorsed by ETS®.