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The price of an item is greater than $90 and less than $150.

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GMAT Club Legend
GMAT Club Legend
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Joined: 07 Jun 2014
Posts: 4749
GRE 1: Q167 V156
WE: Business Development (Energy and Utilities)
Followers: 93

Kudos [?]: 1651 [0], given: 396

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The price of an item is greater than $90 and less than $150. [#permalink] New post 10 Jun 2018, 05:17
Expert's post
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Question Stats:

62% (01:21) correct 37% (01:02) wrong based on 37 sessions
The price of an item is greater than $90 and less than $150.

Quantity A
Quantity B
The price of the item after a 10%-off discount and then a $20-off discount
The price of the item after a $10-off discount and then a 20%-off discount


A)The quantity in Column A is greater.
B)The quantity in Column B is greater.
C)The two quantities are equal.
D)The relationship cannot be determined from the information given.
[Reveal] Spoiler: OA

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Sandy
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GMAT Club Legend
GMAT Club Legend
User avatar
Joined: 07 Jun 2014
Posts: 4749
GRE 1: Q167 V156
WE: Business Development (Energy and Utilities)
Followers: 93

Kudos [?]: 1651 [0], given: 396

CAT Tests
Re: The price of an item is greater than $90 and less than $150. [#permalink] New post 14 Jul 2018, 04:45
Expert's post
Explanation

Reducing a number by a percent involves multiplication; reducing a number by a fixed amount involves subtraction. The order of operations (PEMDAS) will make a difference.

One possible value for the item is $100. In this case, the value of Quantity A = ($100)(0.9) – $20 = $70. The value of Quantity B = ($100 – $10)(0.80) = $72. Here, Quantity B is greater.

However, a greater starting value may change the result, because a 20% discount off a greater starting value can result in a much greater decrease. For a $140 item, the value of Quantity A = ($140)(0.9) – $20 = $106. The value of Quantity B = ($140 – $10)(0.80) = $104.

Here, Quantity A is greater. The relationship cannot be determined from the information given.
_________________

Sandy
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Re: The price of an item is greater than $90 and less than $150.   [#permalink] 14 Jul 2018, 04:45
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The price of an item is greater than $90 and less than $150.

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