ISEE Quantitative Comparisons Question 102: Answer and Explanation
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Question: 102
1. In September, oranges were selling for $1.25 a pound. In October, the price of oranges was 10% higher than the September price. In November, the price of oranges was 10% lower than the October price.
- 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.
Correct Answer: A
Explanation:
The answer is A
The September price of $1.25/lb rose after a 10% increase in October to $1.38/lb, after rounding up: 0.10 × $1.25 = $0.125, and $1.25 + $0.125 = $1.375 ($1.38). In November, the price dropped after a 10% decrease to $1.24/lb, after rounding down: 0.10 × $1.38 = $0.138, and $1.38 – $0.138 = $1.242 ($1.24).
In this type of question, the original price does not matter, so plug in $100 to keep things simple. Adding 10% brings the price to $110. Subtracting 10% brings the price to $99. Thus, increasing a price by a percent and then decreasing the price by the same percent will yield a price lower than the original amount.