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

It is currently 29 Aug 2014, 00:01

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

During a 7-year period the profits of Midas, Inc. changed by

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
1 KUDOS received
Intern
Intern
User avatar
Joined: 18 Feb 2010
Posts: 20
Followers: 0

Kudos [?]: 8 [1] , given: 2

During a 7-year period the profits of Midas, Inc. changed by [#permalink] New post 28 Mar 2010, 00:57
1
This post received
KUDOS
1
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

  25% (medium)

Question Stats:

74% (01:45) correct 26% (00:45) wrong based on 99 sessions
During a 7-year period the profits of Midas, Inc. changed by what percent from the sixth year to the seventh year?

(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.
[Reveal] Spoiler: OA

_________________

If you like my post, shower kudos :)

Believe that something extraordinary is possible

Manager
Manager
avatar
Joined: 26 May 2005
Posts: 210
Followers: 2

Kudos [?]: 67 [0], given: 1

GMAT Tests User
Re: Trap question [#permalink] New post 28 Mar 2010, 04:23
ankithakhu wrote:
During a 7-year period the profits of Midas, Inc. changed by what percent from the sixth year to the seventh year?
(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.


(p7-p6)/p6??
st 1) p7 = p3 * 1.5
Not sufficient
st 2) increase is same for subsequent years.
not sufficient

combining
let increase be a
so p7=p6 + a = p5+2a = p4 + 3a = p3 + 4a = p3*1.5
a = p3/8
but still cannot figure out (p7-p6)/p6

E
Senior Manager
Senior Manager
avatar
Joined: 01 Feb 2010
Posts: 268
Followers: 1

Kudos [?]: 35 [0], given: 2

GMAT Tests User
Re: Trap question [#permalink] New post 28 Mar 2010, 06:06
ankithakhu wrote:
During a 7-year period the profits of Midas, Inc. changed by what percent from the sixth year to the seventh year?
(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.

1 & 2 alone are insufficient.
Combining, let x be increase in profit each year.
p7 = p3+4x
p7-p3 = 4x
50 = 4x
x = 12.5%
hence sufficient.
Its C.
Whats the OA.
CEO
CEO
User avatar
Status: Nothing comes easy: neither do I want.
Joined: 12 Oct 2009
Posts: 2793
Location: Malaysia
Concentration: Technology, Entrepreneurship
Schools: ISB '15 (M)
GMAT 1: 670 Q49 V31
GMAT 2: 710 Q50 V35
Followers: 177

Kudos [?]: 929 [0], given: 235

GMAT Tests User Reviews Badge
Re: Trap question [#permalink] New post 28 Mar 2010, 10:32
This increase is the actual increase not increase in %.
_________________

Fight for your dreams :For all those who fear from Verbal- lets give it a fight

Money Saved is the Money Earned :)

Jo Bole So Nihaal , Sat Shri Akaal

:thanks Support GMAT Club by putting a GMAT Club badge on your blog/Facebook :thanks

Get the best GMAT Prep Resources with GMAT Club Premium Membership

Gmat test review :
670-to-710-a-long-journey-without-destination-still-happy-141642.html

1 KUDOS received
Intern
Intern
User avatar
Joined: 18 Feb 2010
Posts: 20
Followers: 0

Kudos [?]: 8 [1] , given: 2

Re: Trap question [#permalink] New post 28 Mar 2010, 10:36
1
This post received
KUDOS
The OA is C.
Combining the two statements, Let P be the Profit in the third year and x be the increase in profit which is constant. Thus profit in the 6th year = P+3x
and Profit in the 7th year = P+4x
Also from statement 1 Profit in 7th year =1.5 times profit in 3rd year
thus P+4x = 1.5P
thus x=P/8

Hence the percentage increase of 7th year over 6th can now be known.

Hope this is clear.
_________________

If you like my post, shower kudos :)

Believe that something extraordinary is possible

Manager
Manager
avatar
Joined: 05 Mar 2010
Posts: 220
Followers: 1

Kudos [?]: 23 [0], given: 8

Re: Trap question [#permalink] New post 29 Mar 2010, 01:32
Good question Ankit
_________________

Success is my Destiny

Intern
Intern
User avatar
Joined: 18 Feb 2010
Posts: 20
Followers: 0

Kudos [?]: 8 [0], given: 2

Re: Trap question [#permalink] New post 29 Mar 2010, 04:47
Thanks :computer
_________________

If you like my post, shower kudos :)

Believe that something extraordinary is possible

Manager
Manager
avatar
Joined: 10 Aug 2009
Posts: 123
Followers: 3

Kudos [?]: 12 [0], given: 13

Re: Trap question [#permalink] New post 05 Apr 2010, 08:16
Damn... I was caught in the trap.

Is this a relatively high level question or not?
Intern
Intern
User avatar
Joined: 18 Feb 2010
Posts: 20
Followers: 0

Kudos [?]: 8 [0], given: 2

Re: Trap question [#permalink] New post 05 Apr 2010, 09:35
No its a simple question. which reinstates the fact that one needs to be really careful, alert and consider all possibilities.
_________________

If you like my post, shower kudos :)

Believe that something extraordinary is possible

Manager
Manager
avatar
Joined: 27 May 2012
Posts: 213
Followers: 0

Kudos [?]: 47 [0], given: 160

Re: During a 7-year period the profits of Midas, Inc. changed by [#permalink] New post 25 Aug 2013, 05:33
ankithakhu wrote:
During a 7-year period the profits of Midas, Inc. changed by what percent from the sixth year to the seventh year?
(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.



This is an interesting old question,But I think needs expert opinion.

we need to know the profits of 6th and 7th year in order to answer this question.

(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
Nothing about the sixth year so Insufficient

(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.

Initially I thought this was sufficient as profits of 6 and 7 year seemed to be same, but that is not so.

The original profits of 6 and 7 year may be different but increase may be same, hence we do not know that actual 6 and 7 year profits.

1+2
from 1
Let 3 year profit be x and 7 year profit is 1.5x still we know nothing about 6 year

from 2 : increase in profits were the same each year , so let the increase in profits be y each year

year ---- profit
3 ------- x
4 ------- x+y
5 ------- x+y+y = x+2y
6 ------- x+3y
7 ------- x+4y

Now we know 6 year profit is x+3y and 7 year profit is x+4y

also we know x+4y=1.5x ( 7 year profit is 1.5 times 3 year profit, we have taken 3 year profit to be x)
on solving x+4y=1.5x we get x= 8y

now 6 year profit is 11y ( from chart above )and 7 year profit is 12y
so profit % increase from 6 to 7 year \frac{12y-11y}{11y}*100 =\frac{100}{11} = 9.09

We know C is is the answer, but can any one tell me if I have arrived at the correct percentage change in profit?
Thanks
_________________

- Stne

Expert Post
1 KUDOS received
Math Expert
User avatar
Joined: 02 Sep 2009
Posts: 22146
Followers: 3412

Kudos [?]: 24969 [1] , given: 2698

Re: During a 7-year period the profits of Midas, Inc. changed by [#permalink] New post 25 Aug 2013, 09:28
1
This post received
KUDOS
Expert's post
stne wrote:
ankithakhu wrote:
During a 7-year period the profits of Midas, Inc. changed by what percent from the sixth year to the seventh year?
(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.



This is an interesting old question,But I think needs expert opinion.

we need to know the profits of 6th and 7th year in order to answer this question.

(1) The profits of Midas, Inc. during the seventh year were 50 percent greater than the profits during the third year.
Nothing about the sixth year so Insufficient

(2) The increase in the profits of Midas, Inc. was the same for each year during the 7-year period.

Initially I thought this was sufficient as profits of 6 and 7 year seemed to be same, but that is not so.

The original profits of 6 and 7 year may be different but increase may be same, hence we do not know that actual 6 and 7 year profits.

1+2
from 1
Let 3 year profit be x and 7 year profit is 1.5x still we know nothing about 6 year

from 2 : increase in profits were the same each year , so let the increase in profits be y each year

year ---- profit
3 ------- x
4 ------- x+y
5 ------- x+y+y = x+2y
6 ------- x+3y
7 ------- x+4y

Now we know 6 year profit is x+3y and 7 year profit is x+4y

also we know x+4y=1.5x ( 7 year profit is 1.5 times 3 year profit, we have taken 3 year profit to be x)
on solving x+4y=1.5x we get x= 8y

now 6 year profit is 11y ( from chart above )and 7 year profit is 12y
so profit % increase from 6 to 7 year \frac{12y-11y}{11y}*100 =\frac{100}{11} = 9.09

We know C is is the answer, but can any one tell me if I have arrived at the correct percentage change in profit?
Thanks


Yes, the actual increase is 100/11%.
_________________

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

Re: During a 7-year period the profits of Midas, Inc. changed by   [#permalink] 25 Aug 2013, 09:28
    Similar topics Author Replies Last post
Similar
Topics:
Experts publish their posts in the topic During a three-year period, the profits of company X changed registerincog 1 18 Nov 2013, 02:39
3 Experts publish their posts in the topic During a 3 year period, the profits of company X changed by rxs0005 3 15 Feb 2011, 08:16
1 During a 3-year period, the profit of company X changed by vcbabu 2 22 Jul 2009, 11:18
During a 3-year period, the profits of Company X changed by bigtreezl 1 07 Oct 2008, 13:46
During a 3-year period, the profits of Company X changed by acoustic 7 17 Oct 2006, 13:43
Display posts from previous: Sort by

During a 7-year period the profits of Midas, Inc. changed by

  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®.