Find all School-related info fast with the new School-Specific MBA Forum

It is currently 19 Sep 2014, 03:56

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

Among a group of 2,500 people, 35 percent invest in

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
Expert Post
Math Expert
User avatar
Joined: 02 Sep 2009
Posts: 23480
Followers: 3500

Kudos [?]: 26412 [0], given: 2710

Among a group of 2,500 people, 35 percent invest in [#permalink] New post 14 Jun 2012, 01:49
Expert's post
1
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

  25% (medium)

Question Stats:

73% (02:30) correct 27% (02:00) wrong based on 354 sessions
Among a group of 2,500 people, 35 percent invest in municipal bonds, 18 percent invest in oil stocks, and 7 percent invest in both municipal bonds and oil stocks. If 1 person is to be randomly selected from the 2,500 people, what is the probability that the person selected will be one who invests in municipal bonds but NOT in oil stocks?

(A) 9/50
(B) 7/25
(C) 7/20
(D) 21/50
(E) 27/50

Diagnostic Test
Question: 4
Page: 20
Difficulty: 650
[Reveal] Spoiler: OA

_________________

NEW TO MATH FORUM? PLEASE READ THIS: ALL YOU NEED FOR QUANT!!!

PLEASE READ AND FOLLOW: 11 Rules for Posting!!!

RESOURCES: [GMAT MATH BOOK]; 1. Triangles; 2. Polygons; 3. Coordinate Geometry; 4. Factorials; 5. Circles; 6. Number Theory; 7. Remainders; 8. Overlapping Sets; 9. PDF of Math Book; 10. Remainders; 11. GMAT Prep Software Analysis NEW!!!; 12. SEVEN SAMURAI OF 2012 (BEST DISCUSSIONS) NEW!!!; 12. Tricky questions from previous years. NEW!!!;

COLLECTION OF QUESTIONS:
PS: 1. Tough and Tricky questions; 2. Hard questions; 3. Hard questions part 2; 4. Standard deviation; 5. Tough Problem Solving Questions With Solutions; 6. Probability and Combinations Questions With Solutions; 7 Tough and tricky exponents and roots questions; 8 12 Easy Pieces (or not?); 9 Bakers' Dozen; 10 Algebra set. ,11 Mixed Questions, 12 Fresh Meat

DS: 1. DS tough questions; 2. DS tough questions part 2; 3. DS tough questions part 3; 4. DS Standard deviation; 5. Inequalities; 6. 700+ GMAT Data Sufficiency Questions With Explanations; 7 Tough and tricky exponents and roots questions; 8 The Discreet Charm of the DS ; 9 Devil's Dozen!!!; 10 Number Properties set., 11 New DS set.


What are GMAT Club Tests?
25 extra-hard Quant Tests

Get the best GMAT Prep Resources with GMAT Club Premium Membership

Expert Post
1 KUDOS received
Math Expert
User avatar
Joined: 02 Sep 2009
Posts: 23480
Followers: 3500

Kudos [?]: 26412 [1] , given: 2710

Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 14 Jun 2012, 01:49
1
This post received
KUDOS
Expert's post
SOLUTION

Among a group of 2,500 people, 35 percent invest in municipal bonds, 18 percent invest in oil stocks, and 7 percent invest in both municipal bonds and oil stocks. If 1 person is to be randomly selected from the 2,500 people, what is the probability that the person selected will be one who invests in municipal bonds but NOT in oil stocks?

(A) 9/50
(B) 7/25
(C) 7/20
(D) 21/50
(E) 27/50

Given:
0.35*2,500=875 invest in municipal bonds;
0.07*2,500=175 invest in in both municipal bonds and oil stocks;

Therefore 875-175=700 invest in municipal bonds but NOT in in oil stocks. (Or directly: 35%-7%=28% of 2,500, which is 700, invest in municipal bonds but NOT in in oil stocks).

P=\frac{Favorable}{Total}=\frac{700}{2,500}=\frac{7}{25}.

Answer: B.
_________________

NEW TO MATH FORUM? PLEASE READ THIS: ALL YOU NEED FOR QUANT!!!

PLEASE READ AND FOLLOW: 11 Rules for Posting!!!

RESOURCES: [GMAT MATH BOOK]; 1. Triangles; 2. Polygons; 3. Coordinate Geometry; 4. Factorials; 5. Circles; 6. Number Theory; 7. Remainders; 8. Overlapping Sets; 9. PDF of Math Book; 10. Remainders; 11. GMAT Prep Software Analysis NEW!!!; 12. SEVEN SAMURAI OF 2012 (BEST DISCUSSIONS) NEW!!!; 12. Tricky questions from previous years. NEW!!!;

COLLECTION OF QUESTIONS:
PS: 1. Tough and Tricky questions; 2. Hard questions; 3. Hard questions part 2; 4. Standard deviation; 5. Tough Problem Solving Questions With Solutions; 6. Probability and Combinations Questions With Solutions; 7 Tough and tricky exponents and roots questions; 8 12 Easy Pieces (or not?); 9 Bakers' Dozen; 10 Algebra set. ,11 Mixed Questions, 12 Fresh Meat

DS: 1. DS tough questions; 2. DS tough questions part 2; 3. DS tough questions part 3; 4. DS Standard deviation; 5. Inequalities; 6. 700+ GMAT Data Sufficiency Questions With Explanations; 7 Tough and tricky exponents and roots questions; 8 The Discreet Charm of the DS ; 9 Devil's Dozen!!!; 10 Number Properties set., 11 New DS set.


What are GMAT Club Tests?
25 extra-hard Quant Tests

Get the best GMAT Prep Resources with GMAT Club Premium Membership

3 KUDOS received
Senior Manager
Senior Manager
User avatar
Joined: 28 Mar 2012
Posts: 285
Concentration: Entrepreneurship
GMAT 1: 640 Q50 V26
GMAT 2: 660 Q50 V28
GMAT 3: 730 Q50 V38
Followers: 16

Kudos [?]: 157 [3] , given: 23

GMAT ToolKit User GMAT Tests User
Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 14 Jun 2012, 05:09
3
This post received
KUDOS
Quote:
Among a group of 2,500 people, 35 percent invest in municipal bonds, 18 percent invest in oil stocks, and 7 percent invest in both municipal bonds and oil stocks. If 1 person is to be randomly selected from the 2,500 people, what is the probability that the person selected will be one who invests in municipal bonds but NOT in oil stocks?

(A) 9/50
(B) 7/25
(C) 7/20
(D) 21/50
(E) 27/50
Hi,

Among a group of 2,500 people, 35 percent invest in municipal bonds, 18 percent invest in oil stocks, and 7 percent invest in both municipal bonds and oil stocks.

As per the attached venn diagram, we have to find the number of people in shaded portion.
=35%-7%=28%

Thus, probability = 0.28 = 7/25

(2,500 people, 18 percent invest in oil stocks is not required.)

Answer is (B)
Attachments

m.jpg
m.jpg [ 9.55 KiB | Viewed 6225 times ]


_________________

My posts: Solving Inequalities, Solving Simultaneous equations, Divisibility Rules

My story: 640 What a blunder!

Vocabulary resource: EdPrep

Facebook page: fb.com/EdPrep


Last edited by cyberjadugar on 09 Jul 2012, 00:04, edited 1 time in total.
Manager
Manager
avatar
Joined: 02 Jun 2011
Posts: 160
Followers: 1

Kudos [?]: 23 [0], given: 11

Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 14 Jun 2012, 05:50
People with Municipal Bond but not with Oil Stock
= People with Municipal Bond and Oil stock – People with Municipal Bond but not Oil S
= 35%of 2500 – 7% of 2500
= 700
Now,
P ( one person investing in Municipal Bond but not in Oil Stock ) = 700 /2500 = 7/25

Answer -B
Intern
Intern
User avatar
Joined: 03 Jun 2012
Posts: 32
Location: United States
WE: Project Management (Computer Software)
Followers: 0

Kudos [?]: 18 [0], given: 2

Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 14 Jun 2012, 19:19
Percentage investing in Municipal bonds = 35%
Percentage investing in both = 7%
Percentage investing in ONLY Municipal bonds = (35-7)% = 28%

Therefore, Probability of selecting one who invests Only in Municipal bonds = 28% = 28/100 = 7/25.
Answer (B) is correct.
Manager
Manager
User avatar
Joined: 07 Sep 2011
Posts: 65
Location: United States
Concentration: Strategy, International Business
GMAT 1: 640 Q39 V38
WE: General Management (Real Estate)
Followers: 4

Kudos [?]: 26 [0], given: 3

Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 16 Jun 2012, 02:52
Difficulty level 600+.

Probability of percentage invested in MB/ Total

35%-7%=28% of 2500= 700

P= 700/2500= 7/25
4 KUDOS received
Director
Director
User avatar
Joined: 22 Mar 2011
Posts: 613
WE: Science (Education)
Followers: 70

Kudos [?]: 515 [4] , given: 43

GMAT Tests User
Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 18 Jun 2012, 06:07
4
This post received
KUDOS
For this type of question, I sometimes use a 2X2 table approach. The table is just an organized summary of the Venn diagram.
Since in this case a probability is required, there is no need to calculate actual numbers. So, using percentages, we can fill out the table (see attached image). I started with 35, 18 and 7, then for example 11=18-7, 28=35-7, 82=100-18, 54=82-28, 65=100-35. There is more than one possible sequence. Necessarily, one must get the sum in the bottom row and that in the rightmost column exactly 100.
In fact, you don't need to fill out the whole table, once you have that Municipal and noOil represents 28%, you are done. I present the whole table just to illustrate the use of it.

So, those who invest in Municipal and noOil stocks represent 28%=28/100=7/25.

Correct asnwer is B.
Attachments

OG13-Diagn-4.jpg
OG13-Diagn-4.jpg [ 36.89 KiB | Viewed 5996 times ]


_________________

PhD in Applied Mathematics
Love GMAT Quant questions and running.


Last edited by EvaJager on 18 Jun 2012, 07:14, edited 1 time in total.
Senior Manager
Senior Manager
User avatar
Status: Juggg..Jugggg Go!
Joined: 11 May 2012
Posts: 254
Location: India
GC Meter: A.W.E.S.O.M.E
Concentration: Entrepreneurship, General Management
GMAT 1: 620 Q46 V30
GMAT 2: 720 Q50 V38
Followers: 4

Kudos [?]: 28 [0], given: 239

Reviews Badge
Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 18 Jun 2012, 06:42
IMO. B :) same explanation as above
_________________

You haven't failed, if you haven't given up!
---
bschooladmit
Visit my Blog www.bschooladmit.wordpress.com

Check out my other posts:
Bschool Deadlines 2013-2014 | Bschool Admission Events 2013 Start your GMAT Prep with Stacey Koprince | Get a head start in MBA finance

Expert Post
1 KUDOS received
Math Expert
User avatar
Joined: 02 Sep 2009
Posts: 23480
Followers: 3500

Kudos [?]: 26412 [1] , given: 2710

Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 22 Jun 2012, 01:48
1
This post received
KUDOS
Expert's post
SOLUTION

Among a group of 2,500 people, 35 percent invest in municipal bonds, 18 percent invest in oil stocks, and 7 percent invest in both municipal bonds and oil stocks. If 1 person is to be randomly selected from the 2,500 people, what is the probability that the person selected will be one who invests in municipal bonds but NOT in oil stocks?

(A) 9/50
(B) 7/25
(C) 7/20
(D) 21/50
(E) 27/50

Given:
0.35*2,500=875 invest in municipal bonds;
0.07*2,500=175 invest in in both municipal bonds and oil stocks;

Therefore 875-175=700 invest in municipal bonds but NOT in in oil stocks. (Or directly: 35%-7%=28% of 2,500, which is 700, invest in municipal bonds but NOT in in oil stocks).

P=\frac{Favorable}{Total}=\frac{700}{2,500}=\frac{7}{25}.

Answer: B.
_________________

NEW TO MATH FORUM? PLEASE READ THIS: ALL YOU NEED FOR QUANT!!!

PLEASE READ AND FOLLOW: 11 Rules for Posting!!!

RESOURCES: [GMAT MATH BOOK]; 1. Triangles; 2. Polygons; 3. Coordinate Geometry; 4. Factorials; 5. Circles; 6. Number Theory; 7. Remainders; 8. Overlapping Sets; 9. PDF of Math Book; 10. Remainders; 11. GMAT Prep Software Analysis NEW!!!; 12. SEVEN SAMURAI OF 2012 (BEST DISCUSSIONS) NEW!!!; 12. Tricky questions from previous years. NEW!!!;

COLLECTION OF QUESTIONS:
PS: 1. Tough and Tricky questions; 2. Hard questions; 3. Hard questions part 2; 4. Standard deviation; 5. Tough Problem Solving Questions With Solutions; 6. Probability and Combinations Questions With Solutions; 7 Tough and tricky exponents and roots questions; 8 12 Easy Pieces (or not?); 9 Bakers' Dozen; 10 Algebra set. ,11 Mixed Questions, 12 Fresh Meat

DS: 1. DS tough questions; 2. DS tough questions part 2; 3. DS tough questions part 3; 4. DS Standard deviation; 5. Inequalities; 6. 700+ GMAT Data Sufficiency Questions With Explanations; 7 Tough and tricky exponents and roots questions; 8 The Discreet Charm of the DS ; 9 Devil's Dozen!!!; 10 Number Properties set., 11 New DS set.


What are GMAT Club Tests?
25 extra-hard Quant Tests

Get the best GMAT Prep Resources with GMAT Club Premium Membership

SVP
SVP
User avatar
Joined: 09 Sep 2013
Posts: 2423
Followers: 196

Kudos [?]: 38 [0], given: 0

Premium Member
Re: Among a group of 2,500 people, 35 percent invest in [#permalink] New post 05 Mar 2014, 08:13
Hello from the GMAT Club BumpBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
_________________

GMAT Books | GMAT Club Tests | Best Prices on GMAT Courses | GMAT Mobile App | Math Resources | Verbal Resources

Re: Among a group of 2,500 people, 35 percent invest in   [#permalink] 05 Mar 2014, 08:13
    Similar topics Author Replies Last post
Similar
Topics:
2 In a group of people, 3/5 have brown hair and 3/4 of the people with aadikamagic 7 11 Sep 2014, 05:25
3 Experts publish their posts in the topic What percent of a group of people are women with red hair? Bunuel 9 23 Jul 2012, 03:45
9 Experts publish their posts in the topic Among a group of 2,500 people, 35 percent invest in muni.... shm0401 11 09 Jun 2011, 19:17
What percent of a group of people are women with red hair? perseverant 3 02 May 2010, 06:38
Among a group of 2500 people, 35% invest in municipal bonds, samlosco 1 08 Nov 2008, 07:46
Display posts from previous: Sort by

Among a group of 2,500 people, 35 percent invest in

  Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Privacy Policy| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.