Source: Official Guide Revised GRE 1st Ed. Part 6; Set 1; #10

9

A certain shipping service charges an insurance

A certain shipping service charges an insurance fee of $0.75 when shipping any package with contents worth $25.00 or less and an insurance of $1.00 when shipping any package with contents worth over $25.00. If Dan Uses the shipping company to ship three packages with contents worth $18.25, $25.00 and $127.50, respectively, what is the total insurance fee that the company charges Dan to ship the three packages? $1.75, $2.25, $2.50, $2.75, $3.00

1 Explanation

4

Eric Kuzmenko

Note that two of the packages being shipped have contents that are worth $25.00 or less. Therefore, each of them has an insurance fee of $0.75, for a total of $1.50. The third package has contents worth over $25.00, and it has an insurance fee of $1.00. Therefore, the total insurance fee for the three packages is $1.50 + $1.00 = $2.50, and the correct answer is Choice C.

Aug 8, 2014 • Comment

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