Quantitative Reasoning

A ticket agency charges a service fee that is a fixed percentage of the price of each ticket. The service fee for a ticket priced at $80\$80 is $6\$6. Quantity A: The service fee for a ticket priced at $120\$120 Quantity B: $8.50\$8.50

Compare Quantity A and Quantity B. Select one answer.

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Answer: A (Quantity A is greater.)

The service fee as a fraction of the ticket price is $6$80=0.075\frac{\$6}{\$80} = 0.075, so the service fee is 7.57.5 percent of the ticket price. For a ticket priced at $120\$120, the service fee is (0.075)($120)=$9(0.075)(\$120) = \$9. Since $9\$9 is greater than $8.50\$8.50, Quantity A is greater.

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