College of Admission Tests Multan

Value Questions

Solve the question of and select the option from the choices A through D/E. Check your Answer and view the explanation.

Question: 6

Over a holiday weekend, a certain car dealer sold off 4/5 of the cars on its lot. If the cars sold for an average of $6,000 each, how many cars were on the dealer’s lot at the beginning of the weekend?

(1) The average value of the remaining cars on the lot is $5,000.

(2) The car dealer made $48,000 in car sales over the weekend.

  • Statement (1) ALONE is sufficient, but statement (2) alone is not sufficient.
  • Statement (2) ALONE is sufficient, but statement (1) alone is not sufficient.
  • BOTH statements TOGETHER are sufficient, but NEITHER statement ALONE is sufficient.
  • EACH statement ALONE is sufficient.
  • Statements (1) and (2) TOGETHER are NOT sufficient.

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Correct Answer: B

Given statement (1) alone, we only know average values of both the cars that were sold and the cars that remained; the dealer could have sold 4 cars and had 1 left, or sold 8 cars and had 2 left, or an infinite number of other options. So we can eliminate A and D.

With statement (2), we are able to find the number of cars sold by dividing the total sales by the average price. 48,000/6,000 = 8, so the dealer sold 8 cars. Since that is 4/5 of the cars on the lot, the dealer started off with 10 cars. Statement (2) is sufficient, so the answer is B.