A store sold a Brand A computer for 3 × as much as it sold a Brand B computer. The store's gross profit on the Brand A computer was 80 percent of the price that the store paid for the Brand A computer, and the store's gross profit on the Brand B computer was 20 percent of the price that the store paid for the Brand B computer. The store's total gross profit on the two computers was what percent of the total amount that the store paid for the two computers?
60%
To solve the problem, we need to calculate the total gross profit from both computers and express it as a percentage of the total amount paid for them. Given the relationships between the prices and profits of Brand A and Brand B, we find that the total gross profit is 60% of the total cost.
This percentage underestimates the total gross profit calculated from the sales of both computers. To achieve a gross profit of 35%, the profit margins and cost relationships would need to be significantly different, which is not supported by the given data.
A gross profit of 40% does not accurately reflect the profit margins described in the problem. The calculations reveal that the profit from Brand A and Brand B combined exceeds this percentage, indicating that 40% is too low.
Although 45% is closer to the expected total gross profit, it still falls short of the computed value. The specific profit margins on both computers lead to a greater total gross profit than this option suggests.
Choosing 50% also does not align with the calculated total gross profit. The relationships indicated between the prices and profit margins suggest that the gross profit percentage should be higher than 50%, thus making this choice incorrect.
This percentage accurately represents the total gross profit as a fraction of the total cost paid for both computers. The profit margins of 80% on Brand A and 20% on Brand B yield a combined gross profit that precisely aligns with this percentage.
Through careful analysis of the prices and profit margins of Brand A and Brand B, we find that the total gross profit is indeed 60% of the total amount paid for both computers. This conclusion highlights the effective application of ratio and percentage concepts in solving profit-related problems in retail.
Related Questions
View allIf 0.15 percent of x/5 is equal to 2.25, then x =
(1/3 + 1/6 + 1/12) is what percent of (1/6 + 1/12 + 1/24)?
Each week Ingrid earns a fixed salary and a sales commission that is a...
In a certain list of numbers, the first number is 2, the second number...
In a word game, the 6 letters H, A, T, L, E, and W are to be arranged...
Related Quizzes
View allQuantitative Reasoning GMAT
Gmat Quantitative Reasoning Practice
Official Gmat Data Insights Practice Questions
GMAT 2025 Exam Changes Verbal Reasoning
GMAT Exam Changes 2025 March 5 Verbal Reasoning
GMAT Exam Changes 2025 Verbal Reasoning March 2025
- ✓ 500+ Practice Questions
- ✓ Detailed Explanations
- ✓ Progress Analytics
- ✓ Exam Simulations