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Last year the average (arithmetic mean) salary of the 10

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Last year the average (arithmetic mean) salary of the 10 [#permalink] New post 16 Jul 2012, 04:51
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Last year the average (arithmetic mean) salary of the 10 employees of Company X was $42,800. What is the average salary of the same 10 employees this year?

(1) For 8 of the 10 employees, this year's salary is 15 percent greater than last year's salary.
(2) For 2 of the 10 employees, this year's salary is the same as last year's salary.

Diagnostic Test
Question: 46
Page: 26
Difficulty: 650
[Reveal] Spoiler: OA

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Re: Last year the average (arithmetic mean) salary of the 10 [#permalink] New post 20 Jul 2012, 04:16
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SOLUTION

Last year the average (arithmetic mean) salary of the 10 employees of Company X was $42,800. What is the average salary of the same 10 employees this year?

Note that it's almost always better to express the average in terms of the sum.

Given: total salary is $42,800*10.
Question: new total salary=?

(1) For 8 of the 10 employees, this year's salary is 15 percent greater than last year's salary. Clearly insufficient.
(2) For 2 of the 10 employees, this year's salary is the same as last year's salary. Clearly insufficient.

(1)+(2) Consider two possible cases:
2 lowest salaries didn't change and 8 highest salaries increased by 15%;
2 highest salaries didn't change and 8 lowest salaries increased by 15%;

Ask yourself, would new total salary be the same for both cases? No, because the increase in amount for the first case will be greater than the increase in amount for the second case. Hence even taken together statements are not sufficient.

Answer: E.

Hope it's clear.
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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

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. NEW!!! ,11 Mixed Questions NEW!!!, 12 Fresh Meat NEW!!!

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. NEW!!!, 11 New DS set. NEW!!!


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Re: Last year the average (arithmetic mean) salary of the 10   [#permalink] 20 Jul 2012, 04:16
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