Andrew started saving at the beginning of the year and had saved $240

Question

Andrew started saving at the beginning of the year and had saved $240 by the end of the year. He continued to save and by the end of 2 years had saved a total of $540. Which of the following is closest to the percent increase in the amount Andrew saved during the second year compared to the amount he saved during the first year?
 A. 11%
 B. 25%
 C. 44%
 D. 56%
 E. 125%

Abhishek009 · Accepted Answer

( Savings in Year 1 ) + ( Savings in Year 2 ) = 540 240 + ( Savings in Year 2 ) = 540 ( Savings in Year 2 ) = 300 Increase in saving in Year 2 = 60 ( 300 - 240 ) % increase in savings = (\frac{60}{240}) 100 =>25% Hence answer will be (B) 25% PS : AbdurRakib must say you are doing a great work , hats off for your efforts .... :wave

sashiim20 · Answer

Percent increase in the amount Andrew saved during the second year compared to the amount he saved during the first year.

Percentage Change = ( Change in value / Original value ) * 100

Percentage Change = [ (Saving in 2nd year - Saving in 1st year ) / Saving in 1st year ] * 100

Saving in 2nd year + Saving in 1st year = 540
Saving in 2nd year + 240 = 540
Saving in 2nd year = 540 - 240 = 300

Change in Value = 300 - 240 = 60
Original Value = 240

Percentage Increase = (60 / 240 ) * 100 = (1/4 ) * 100 = 25 % ..... Answer B......

Please, consider giving kudos if you find my answer helpful in any way

generis · Answer

I was a bit shocked at current stats of 45% incorrect.

Sometimes a simple sketch, for me, is better than an equation.

Andrew's savings from beginning to end of each year:

Year 1: 0$ ------> $240

Year 2: $240 ----> $540*

Year 1 amount saved is $240
Year 2 amt saved is (540 - 240) = $300

Percent increase =   \frac{change}{original}  :

\frac{(300-240)}{240}  =  \frac{60}{240}  =  \frac{1}{4}  = .25 x 100 = 25%

Answer B

* (Careful, maybe: I think it would be easy to misread "by the end of 2 years he had saved a total of $540" incorrectly as "at the end of the second year he had saved   $540." The latter yields answer E.)

devanshu92 · Answer

Difference of 2 years savings and 1 year savings = 540 - 240 = 300 ---> 2nd year savings
% increase in two years = (300 - 240)/240 * 100 = 25%
Option B

hasnain3047 · Answer

Saving increases from 240 to 540 in second year
So
First year saving=240
Second year saving=300
Increased by=300-240=60
So percent of increase=(60/240)*100=25%

Answer B

Posted from my mobile device

lstsch · Answer

chetan2u

Hi Chetan, I have a question: I calculated 25% but then added 100% to it so received 125%. What does the 125% represent..? Thank you for your help!!

chetan2u · Answer

PLease elaborate on the question.

If you take 25% of something and add 100% to it - Depend on what this 100% is of
1) say there is a number a, so 25% of a = 0.25a. Add 100% of a, then it becomes 0.25a+a=1.25a. It is same as taking 25% MORE of a = a+0.25a=1.25a.
2) Now, say there is a number a, so 25% of a = 0.25a. But now you are adding 100% of 0.25a, then it becomes 0.25a+0.25a=0.5a.

m1033512 · Answer

IMO B

amount saved in first year 240

amount saved at the end of second year 540

extra amount saved only in second year = 300

extra amount saved = 60

in percent = 60/250*100 = 25%

award kudos if helpful ..

Posted from my mobile device

MHIKER · Answer

540-240=300  is the amount of saving of the second year.

300-240=60   excess savings in the second year.

The increase percentage  = \frac{60}{240}*100=25 %

The answer is  B.

bumpbot · Answer

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.

Andrew started saving at the beginning of the year and had saved $240

Prep Toolkit

Top 5 GMAT Debrief Videos

615 to 715 in 15 Days (Ria's Strategies)

More than Quant/Verbal Abilities: Speed vs. Accuracy

745 with Only Self-Prep and GMAT Club

From 555 to 765: 210-point Improvement

Perfect 805 Score Debrief by Julia

My Rewards

GMAT Problem Solving (PS) Questions

Andrew started saving at the beginning of the year and had saved $240

Prep Toolkit

615 to 715 in 15 Days (Ria's Strategies)

More than Quant/Verbal Abilities: Speed vs. Accuracy

745 with Only Self-Prep and GMAT Club

From 555 to 765: 210-point Improvement

Perfect 805 Score Debrief by Julia

My Rewards