Last visit was: 12 Nov 2024, 23:20 It is currently 12 Nov 2024, 23:20

Close

GRE Prep 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 GRE 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.

Close

Request Expert Reply

Confirm Cancel
Verbal Expert
Joined: 18 Apr 2015
Posts: 29944
Own Kudos [?]: 36207 [0]
Given Kudos: 25902
Send PM
Most Helpful Community Reply
Intern
Intern
Joined: 06 Dec 2022
Posts: 18
Own Kudos [?]: 19 [1]
Given Kudos: 4
Send PM
General Discussion
Verbal Expert
Joined: 18 Apr 2015
Posts: 29944
Own Kudos [?]: 36207 [0]
Given Kudos: 25902
Send PM
Verbal Expert
Joined: 18 Apr 2015
Posts: 29944
Own Kudos [?]: 36207 [0]
Given Kudos: 25902
Send PM
Re: A machine can be repaired for $1,200 and will last for one year, while [#permalink]
Expert Reply
GradMentors wrote:
Carcass wrote:
A machine can be repaired for $1,200 and will last for one year, while the new machine would cost for $2,800 and will last for two years. The average cost per year of the new machine is what percent greater than the cost of repairing the current machine ?

(A) 7%
(B) 10%
(C) 16.67%
(D) 18.83%
(E) 20%


Ok, there is a lot going on in this problem, so it would be best to take things one step at a time and make sure we understand all the details.

Reading through the problem once, we learn that we need to find the average cost per year of both the new machine and compare it with the average cost per year of repairing the old machine:

New Machine ---> $2800/2 years ===> average cost per year = $1400

Old Machine ----> $1200/1 year ===> average cost per year = $1200

Now, we need to find what percent greater the average cost per year of new machine is compared to maintaining the old machine:

A cool mnemonic for percent change is new minus old over old ----> (new - old) /old

Applying it to this problem, we get:

[(average cost per year of new machine) - (average cost per year of old machine)] / (average cost per year of old machine)

Plug in the information from the problem:

(1400 - 1200) / 1200 = 200 /1200 = 1/6 = .1666

Multiply by 100 to get the percentage:

(.1666)(100) = 16.66% greater, which rounds up to 16.67% -----> Answer Choice C



:cool: :cool: :thumbsup:
Prep Club for GRE Bot
Re: A machine can be repaired for $1,200 and will last for one year, while [#permalink]
Moderators:
GRE Instructor
78 posts
GRE Forum Moderator
37 posts
Moderator
1111 posts
GRE Instructor
234 posts

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne