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Gurome's Quant Blog Series - Fractions, Decimals and Percentages A11


For all those who were able to get the correct solution to our last post, keep it up. For all those who could not, here is the solution with a detailed explanation:


Explanation:

(1)  Let the original price of petrol per litre be $x.

      If the price of petrol increases by 25%, new price is 1.25x.

      If initially Peter buys only 100 litres of petrol, his initial total expenditure is 100x.

Let the new quantity of petrol that he can purchase be q litres. So, his total expenditure now is 1.25xq. This is 15% more than the original expenditure.

      Hence, 100x × 1.15 = 1.25xq implies q = 115/1.25 = 92 litres.

      So, (1) alone is SUFFICIENT to answer the question.

(2)  It is given that the price per litre of petrol is $100.

      When the price of petrol increases by 25%, the new price is $125.

Let the initial quantity of petrol that he buys be y litres. So, the initial expenditure that he makes is $100y.

      Let the new quantity of petrol that he buys be q litres. So, his total expenditure is 125q.

      This is 15% more than the original expenditure which is 100y.

      100y × 1.15 = 125q or q = 23y/25

The main question asks for q and to know q we need to know y, which is not provided by statement (2).

      So, (2) alone is NOT SUFFICIENT to answer the question.

The correct answer is (A). Statement (1) alone is sufficient, but statement (2) is not sufficient.


Difficulty Level: 550

 

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Posted by kalyani at Aug 20, 2010 2:33:28 PM
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