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Re: In the first year, the sales of a store is a. Its sales incr [#permalink]
taskforce wrote:
For the second one that you explained A=B, you have assumed that 1.4=(1.2)2 which is not the case. It is (1.18)2 so the expression would be 1+0.18 and then x would translate to 18% in which case B is greater than A even in this case. So B is the correct answer.


Thanks for pointing out the mistake, I have made the necessary changes.
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Re: In the first year, the sales of a store is a. Its sales incr [#permalink]
2
kumarneupane4344 wrote:
In the first year, the sales of a store is a. Its sales increase by x% every two years, and reach 1.4a in the fifth year.

Quantity A
Quantity B
x
20%


A. Quantity A is greater.
B. Quantity B is greater.
C. The two quantities are equal.
D. The relationship cannot be determined from the information given.



Short cut:

Here, if quantity a is increased to 1.4 a , then % increase = 1.4 a/a = 40 %, i.e total increment in 5 year period.
Here, let, from answer provided, if 20 % increase in first two year and again 20 % increase in another 2 years, then with in 4 years period, total increment is greater is greater than 40 % and hence no calculation needed :blushing: .
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Re: In the first year, the sales of a store is a. Its sales incr [#permalink]
1
how about if we just divide 0.4/2.5 because the sales increased for every 2 years and as he mentioned by fifth year it was 1.4a when compared to initial sales
so
0.4/2.5=0.16=16 percent

so quantity b is greater

please feel free to correct me if i am wrong somewhere :)
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