Question

What amount did Jean earn from the commission on her sales in the first half of 1988?
(1) In 1988 Jean's commission was 5 percent of the total amount of her sales.
(2) The amount of Jean's sales in the second half of 1988 averaged $10,000 per month more than in the first half.

• A. Statement (1) alone is sufficient, but statement (2) alone is not sufficient.
• B. Statement (2) alone is sufficient, but statement (1) alone is not sufficient.
• C. Both statements together are sufficient, but neither statement alone is sufficient.
• D. Each statement alone is sufficient.
• E. Statements (1) and (2) together are not sufficient.

Answer 1

The correct option is E Statements (1) and (2) together are not sufficient.

• Let A be the amount of Jean’s sales in the first half of 1988. Determine the value of A.
  

1. If the amount of Jean’s sales in the first half of 1988 was $10,000,thenhercommissioninthefirsthalfof1988wouldhavebeen(5$10000) = $500.Ontheotherhand,iftheamountofJea{n}^{\prime }ssalesinthefirsthalfof1988was$100,000, then her commission in the first half of 1988 would have been (5%) * ($100000); NOT sufficient.
2. No information is given that relates the amount of Jean’s sales to the amount of Jean’s commission; NOT sufficient.

• Given (1) and (2), from (1) the amount of Jean’s commission in the first half of 1988 is (5%)A. From (2) the amount of Jean’s sales in the second half of 1988 is A + $60000. Both statements together do not give information to determine the value of A. Therefore, (1) and (2) together are not sufficient.
• The correct answer is E; both statements together are still not sufficient.