Elmer's new car gives better fuel efficiency. However, the new car uses diesel fuel, which is more expensive per liter than the gasoline the old car used. By what percent will Elmer save money if he uses his new car instead of his old car for a long trip?
- A)
- B)
- C)
- D)
- E)
Answer
A
Key insight
Fuel used scales by 1/1.5 = 2/3 and price by 1.2, so cost scales by (2/3)(1.2) = 0.8, a 20 percent saving.
Solution
Pick convenient numbers. Let the old car travel km per liter and let gasoline cost per liter, and take a km trip.
Old car: uses liters at each, so the trip costs .
New car: better efficiency means km per liter, so it uses liters. Diesel costs more, per liter, so the trip costs .
Savings: , which is of the old cost.
The answer is .
Why this works
Percent changes compose by multiplication, not addition. Better efficiency divides fuel use by (multiplier ) while the price multiplies by ; the product is the new cost relative to the old. Concrete numbers protect against inverting the efficiency factor.
The trap
Subtracting the percents (50 - 20 = 30) or thinking 50 percent better efficiency halves the fuel used.
Common mistakes
- Subtracting the percents (50 - 20 = 30) or thinking 50 percent better efficiency halves the fuel used.
- Computing the saving as a percent of the new cost () instead of the old cost.
Techniques
Test small/specific values or special cases to find or verify the answer