A school administrator plans to purchase the same model of notebook for each of the 75 students. The total budget...
GMAT Algebra : (Alg) Questions
A school administrator plans to purchase the same model of notebook for each of the \(75\) students. The total budget to spend on these notebooks is \(\$17,940\), which is the amount paid after an \(8\%\) discount on the list price. Which of the following is closest to the maximum possible list price per notebook based on this budget?
- \(\$220.00\)
- \(\$240.00\)
- \(\$250.00\)
- \(\$260.00\)
$220.00
$240.00
$250.00
$260.00
1. TRANSLATE the problem information
- Given information:
- 75 students each need one notebook
- Total budget: $17,940
- This $17,940 is the amount paid AFTER an 8% discount on the list price
- What we need to find: The maximum list price per notebook
2. INFER the discount relationship
- Key insight: If there's an 8% discount, then the amount paid is 92% of the list price
- This means: Amount paid = \(\mathrm{0.92 \times List\ price}\)
- Strategy: Set up an equation where total amount paid equals number of notebooks times discounted price per notebook
3. TRANSLATE this into an equation
- Let \(\mathrm{p}\) = list price per notebook
- Total amount paid = \(\mathrm{75 \times (discounted\ price\ per\ notebook)}\)
- Total amount paid = \(\mathrm{75 \times (0.92p)}\)
- So: \(\mathrm{75 \times 0.92p = 17,940}\)
4. SIMPLIFY to solve for p
- First, multiply: \(\mathrm{75 \times 0.92 = 69}\)
- Now we have: \(\mathrm{69p = 17,940}\)
- Divide both sides by 69: \(\mathrm{p = 17,940 \div 69}\)
- Calculate (use calculator): \(\mathrm{p = 260}\)
Answer: D ($260.00)
Why Students Usually Falter on This Problem
Most Common Error Path:
Weak TRANSLATE skill: Students misinterpret the discount relationship and think the $17,940 IS the list price rather than the discounted price.
They calculate: \(\mathrm{\$17,940 \div 75 = \$239.20}\), then look for the closest answer choice.
This may lead them to select Choice B ($240.00).
Second Most Common Error:
Poor INFER reasoning about discount direction: Students understand there's a discount but get confused about whether to add or subtract the discount from the given amount.
Some students think: "If they got 8% off, the list price must be $17,940 + 8% of $17,940." They calculate \(\mathrm{\$17,940 \times 1.08 = \$19,375.20}\), then divide by 75 to get about $258, leading them to guess among the higher options.
This causes them to get stuck and guess between choices C and D.
The Bottom Line:
The trickiest part is correctly interpreting that the $17,940 is the amount AFTER the discount, not the original list price. Students need to work backwards from the discounted total to find the original per-unit list price.
$220.00
$240.00
$250.00
$260.00