Author Message
TAGS:

### Hide Tags

Math Expert
Joined: 02 Sep 2009
Posts: 36597
Followers: 7093

Kudos [?]: 93434 [0], given: 10563

If Pat saved $600 of his earnings last month, how much did [#permalink] ### Show Tags 30 Jul 2012, 01:23 Expert's post 4 This post was BOOKMARKED 00:00 Difficulty: 5% (low) Question Stats: 83% (01:48) correct 17% (01:01) wrong based on 988 sessions ### HideShow timer Statistics If Pat saved$600 of his earnings last month, how much did Pat earn last month?

(1) Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder.
(2) Of his earnings last month, Pat paid twice as much in taxes as he saved.

Practice Questions
Question: 10
Page: 275
Difficulty: 650
[Reveal] Spoiler: OA

_________________
Intern
Joined: 26 Jun 2012
Posts: 7
Followers: 0

Kudos [?]: 2 [1] , given: 3

### Show Tags

05 Oct 2012, 03:30
1
KUDOS
Expert's post
vinnik wrote:
Hi Bunuel,

I was just researching on this question and got your explanation. I got why (A) is correct. But I didn't understand B. I thought (B) was also the correct answer, so eventually i selected D, which was incorrect.

So, here's my reasoning for (B). I want to know where i am going wrong.

Pat saved $600, and paid$1200 for taxes. If Earnings= Taxes + Savings, then Earnings= $1800. Were there any expenses that i could have assumed in (B) ? Because in (A), the explanation says there were expenses, so (A) is clear. Thanks & Regards Vinni (2) is not sufficient because we don't know how much of his earnings last month Pat spent for living expenses. _________________ Math Expert Joined: 02 Sep 2009 Posts: 36597 Followers: 7093 Kudos [?]: 93434 [1] , given: 10563 Re: If Pat saved$600 of his earnings last month, how much did [#permalink]

### Show Tags

05 Oct 2012, 05:24
1
KUDOS
Expert's post
vinnik wrote:
Bunuel, I got your point. But one more question. As it is a DS question, we are not given anything about expenses in B. So, why there is a need to assume living expenses.

Regards
Vinni

It's the other way around: if you are saying that (2) is sufficient, then you are assuming that there are no living expenses at all. Plus, assuming that is against common sense and the first statement.
_________________
Math Expert
Joined: 02 Sep 2009
Posts: 36597
Followers: 7093

Kudos [?]: 93434 [1] , given: 10563

Re: If Pat saved $600 of his earnings last month, how much did [#permalink] ### Show Tags 31 Oct 2013, 00:34 1 This post received KUDOS Expert's post PatrickS wrote: Bunuel wrote: SOLUTION If Pat saved$600 of his earnings last month, how much did Pat earn last month?

Let E be Pat's earnings last month.

(1) Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder. Pat spent $$\frac{E}{2}$$, so $$E-\frac{E}{2}=\frac{E}{2}$$ remained. We are told that 1/3 of that amount, or $$\frac{E}{6}$$, was saved. Since we know that Pat saved $600 of his earnings last month, then we have that $$\frac{E}{6}=600$$ --> $$E=3,600$$. Sufficient. (2) Of his earnings last month, Pat paid twice as much in taxes as he saved. Since Pat saved$600 of his earnings last month, then he paid 2*$600=$1,200 in taxes. But this info is not sufficient to determine Pat's earnings last month.

Why are we assuming that their are no other expenses per month than living expenses?

I got E simple because i told myself the following:
Expenses (per month) = Living Expenses + Utility + mortgage + Car Lease...etc
1) only gave us the living expenses (i.e.: food and beverages???)

Am I over assuming things?

We are not assuming that. Stem says that Pat saved $600. Next, (1) says that Pat spent half of his earnings on something and saved 1/3 of the remainder (so Pat saved 1/3 of the remaining half of his earnings). This implies that 1/3*(earnings/2)=600 --> earnings=3,600. Hope it's clear. _________________ Math Expert Joined: 02 Sep 2009 Posts: 36597 Followers: 7093 Kudos [?]: 93434 [0], given: 10563 Re: If Pat saved$600 of his earnings last month, how much did [#permalink]

### Show Tags

30 Jul 2012, 01:23
SOLUTION

If Pat saved $600 of his earnings last month, how much did Pat earn last month? Let E be Pat's earnings last month. (1) Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder. Pat spent $$\frac{E}{2}$$, so $$E-\frac{E}{2}=\frac{E}{2}$$ remained. We are told that 1/3 of that amount, or $$\frac{E}{6}$$, was saved. Since we know that Pat saved$600 of his earnings last month, then we have that $$\frac{E}{6}=600$$ --> $$E=3,600$$. Sufficient.

(2) Of his earnings last month, Pat paid twice as much in taxes as he saved. Since Pat saved $600 of his earnings last month, then he paid 2*$600=$1,200 in taxes. But this info is not sufficient to determine Pat's earnings last month. Answer: A. _________________ Manager Joined: 28 Sep 2011 Posts: 70 Location: United States GMAT 1: 520 Q34 V27 GMAT 2: 550 Q V GMAT 3: 690 Q47 V38 GPA: 3.01 WE: Information Technology (Commercial Banking) Followers: 1 Kudos [?]: 31 [0], given: 10 Re: If Pat saved$600 of his earnings last month, how much did [#permalink]

### Show Tags

30 Jul 2012, 19:41
I'm going to go with
[Reveal] Spoiler:
A
.

He spent 1/2 of his earnings and he saved 1/3 of the remaining 1/2 --> $$1/6E = 600$$
Math Expert
Joined: 02 Sep 2009
Posts: 36597
Followers: 7093

Kudos [?]: 93434 [0], given: 10563

Re: If Pat saved $600 of his earnings last month, how much did [#permalink] ### Show Tags 03 Aug 2012, 05:24 SOLUTION If Pat saved$600 of his earnings last month, how much did Pat earn last month?

Let E be Pat's earnings last month.

(1) Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder. Pat spent $$\frac{E}{2}$$, so $$E-\frac{E}{2}=\frac{E}{2}$$ remained. We are told that 1/3 of that amount, or $$\frac{E}{6}$$, was saved. Since we know that Pat saved $600 of his earnings last month, then we have that $$\frac{E}{6}=600$$ --> $$E=3,600$$. Sufficient. (2) Of his earnings last month, Pat paid twice as much in taxes as he saved. Since Pat saved$600 of his earnings last month, then he paid 2*$600=$1,200 in taxes. But this info is not sufficient to determine Pat's earnings last month.

_________________
Manager
Joined: 14 Dec 2011
Posts: 70
Followers: 0

Kudos [?]: 52 [0], given: 69

Re: If Pat saved $600 of his earnings last month, how much did [#permalink] ### Show Tags 05 Oct 2012, 03:20 Hi Bunuel, I was just researching on this question and got your explanation. I got why (A) is correct. But I didn't understand B. I thought (B) was also the correct answer, so eventually i selected D, which was incorrect. So, here's my reasoning for (B). I want to know where i am going wrong. Pat saved$600, and paid $1200 for taxes. If Earnings= Taxes + Savings, then Earnings=$1800.

Were there any expenses that i could have assumed in (B) ? Because in (A), the explanation says there were expenses, so (A) is clear.

Thanks & Regards
Vinni
Manager
Joined: 14 Dec 2011
Posts: 70
Followers: 0

Kudos [?]: 52 [0], given: 69

### Show Tags

05 Oct 2012, 05:21
Bunuel, I got your point. But one more question. As it is a DS question, we are not given anything about expenses in B. So, why there is a need to assume living expenses.

Regards
Vinni
Manager
Joined: 14 Dec 2011
Posts: 70
Followers: 0

Kudos [?]: 52 [0], given: 69

### Show Tags

30 Oct 2013, 18:59
Bunuel wrote:
SOLUTION

If Pat saved $600 of his earnings last month, how much did Pat earn last month? Let E be Pat's earnings last month. (1) Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder. Pat spent $$\frac{E}{2}$$, so $$E-\frac{E}{2}=\frac{E}{2}$$ remained. We are told that 1/3 of that amount, or $$\frac{E}{6}$$, was saved. Since we know that Pat saved$600 of his earnings last month, then we have that $$\frac{E}{6}=600$$ --> $$E=3,600$$. Sufficient.

(2) Of his earnings last month, Pat paid twice as much in taxes as he saved. Since Pat saved $600 of his earnings last month, then he paid 2*$600=$1,200 in taxes. But this info is not sufficient to determine Pat's earnings last month. Answer: A. Why are we assuming that their are no other expenses per month than living expenses? I got E simple because i told myself the following: Expenses (per month) = Living Expenses + Utility + mortgage + Car Lease...etc 1) only gave us the living expenses (i.e.: food and beverages???) Am I over assuming things? Intern Joined: 15 Mar 2013 Posts: 23 Location: Canada Concentration: International Business, Finance WE: Information Technology (Consulting) Followers: 0 Kudos [?]: 22 [0], given: 6 Re: If Pat saved$600 of his earnings last month, how much did [#permalink]

### Show Tags

31 Oct 2013, 09:30
Thank you B, just another simple question that i over analyzed
Manager
Joined: 18 May 2014
Posts: 63
Location: United States
Concentration: General Management, Other
GMAT Date: 07-31-2014
GPA: 3.99
WE: Analyst (Consulting)
Followers: 0

Kudos [?]: 12 [0], given: 6

### Show Tags

03 Jun 2015, 01:46
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.
_________________
Manager
Joined: 23 Jun 2012
Posts: 107
GPA: 3.84
Followers: 3

Kudos [?]: 3 [0], given: 151

### Show Tags

25 Jul 2015, 11:57
1
This post was
BOOKMARKED
I am sorry to "reactivate" this old post, but I believe I am assuming things and I really shouldn't be:

On Statement 2:
I assumed that Taxes (T) were his total expenses, so out of his Earnings (E), he would have Saved (S) $600. Since the T = 2S = 2.$600 = $1,200, with that in mind E - T = S, then E = S + T, then E =$600 + $1,200 =$ 1,800.

I believe I should NOT assume that Taxes are his total Expenses on Statement 2 since, it does not mention that ?
Math Forum Moderator
Joined: 20 Mar 2014
Posts: 2654
Concentration: Finance, Strategy
Schools: Kellogg '18 (M)
GMAT 1: 750 Q49 V44
GPA: 3.7
WE: Engineering (Aerospace and Defense)
Followers: 116

Kudos [?]: 1341 [0], given: 789

### Show Tags

22 Jul 2016, 11:17
Bunuel wrote:
If Pat saved $600 of his earnings last month, how much did Pat earn last month? (1) Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder. (2) Of his earnings last month, Pat paid twice as much in taxes as he saved. We are given that Pat saved$600 worth of his earnings, and we need to determine how much he earned last month.

Statement One Alone:

Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder.

From the information in statement one, we can set up some variables and equations.

We are given that Pat spent ½ of his earnings last month for living expenses. So if we let L = living expenses, and E = total money earned last month, we can say:

½(E) = L

We are also given that Pat saved 1/3 of the remainder. Since we see that ½(E) went towards the living expenses, the remainder of that is E – ½(E) = ½(E). Remember, too, that we were initially told that Pat saved $600. Thus, we can say: 1/3[1/2(E)] = 600 1/6(E) = 600 E = 3,600 We see that Pat earned$3,600. Statement one is sufficient to answer the question. We can eliminate answer choices B, C, and E.

Statement Two Alone:

Of his earnings last month, Pat paid twice as much in taxes as he saved.

From statement two we can set up an equation in which T = taxes paid by Pat last month.

T = 2(600)

T = 1,200

Although we know how much Pat paid in taxes last month, we do not know how much Pat earned. Statement two is not sufficient to answer the question.

_________________

Jeffrey Miller
Scott Woodbury-Stewart
Founder and CEO

Re: If Pat saved $600 of his earnings last month, how much did [#permalink] 22 Jul 2016, 11:17 Similar topics Replies Last post Similar Topics: Last month Bill spent$6,000. How much did bill spend on taxes last mo 1 19 Sep 2016, 04:40
3 Last year, department A earned 35% more than department B did. 3 26 Feb 2016, 01:29
1 A savings account earned 1% interest compounded each month, credited o 1 26 Jan 2016, 07:17
1 Last year, 'Crazy Matt's Electronics' earned 90% more than did 'Sane D 2 26 Sep 2015, 06:44
What fraction of his salary did Mr. Johnson put into savings 9 09 Jan 2008, 10:25
Display posts from previous: Sort by