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# Money money!

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Intern
Joined: 30 Oct 2009
Posts: 14
Followers: 0

Kudos [?]: 1 [0], given: 4

Money money! [#permalink]  02 Dec 2009, 06:41
00:00

Difficulty:

(N/A)

Question Stats:

86% (01:33) correct 14% (01:06) wrong based on 28 sessions
A question from GMAT PREP!

Alice's take home pay was the same each month, and she saved same fraction of her take home pay each month. The total amount of money that she had saved at the end of the year was 3 times the amount of that portion of her monthly take home pay that she did not save. If all the money she saved last year was from her take home pay, what fraction of her take home pay did she save each month?

1) 1/2
2) 1/3
3) 1/4
4) 1/5
5) 1/6
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Senior Manager
Affiliations: PMP
Joined: 13 Oct 2009
Posts: 312
Followers: 4

Kudos [?]: 115 [2] , given: 37

Re: Money money! [#permalink]  02 Dec 2009, 06:55
2
KUDOS
A question from GMAT PREP!

Alice's take home pay was the same each month, and she saved same fraction of her take home pay each month. The total amount of money that she had saved at the end of the year was 3 times the amount of that portion of her monthly take home pay that she did not save. If all the money she saved last year was from her take home pay, what fraction of her take home pay did she save each month?

I Got D, 1/5

let H be her monthly take home pay and x be the fraction saved each month from take home pay.

monthly savings from take homepay = xH and yearly savings = 12xH

we are told 12xH = 3H(1-x) ==> 15xH = 3H ==> x = 1/5
_________________

Thanks, Sri
-------------------------------
keep uppp...ing the tempo...

Press +1 Kudos, if you think my post gave u a tiny tip

Intern
Joined: 30 Oct 2009
Posts: 14
Followers: 0

Kudos [?]: 1 [0], given: 4

Re: Money money! [#permalink]  02 Dec 2009, 07:07
Thank you boss....

But i am still bit confused...
IF only you could give example by using numbers.......
It would help a looot..
Manager
Joined: 22 Jul 2008
Posts: 95
Location: Bangalore,Karnataka
Followers: 3

Kudos [?]: 87 [2] , given: 11

Re: Money money! [#permalink]  02 Dec 2009, 08:35
2
KUDOS
Let her take home pay be 1,
and fraction of amt saved be from her pay ( from 1) is 1/x

given that 12 (saved amt) = 3(take home - fraction saved)
12.1/x = 3(1-1/x)
12/x = 3(x-1)/x

solving x=5,

fraction required is 1/5.

Using number wud be difficult coz we need smart number that satisfy[ 12 (saved amt) = 3(take home - fraction saved)], it wud be like tracing backwards for that one need to know the fraction.

is there any better explanation?
Intern
Joined: 31 Oct 2009
Posts: 38
Followers: 1

Kudos [?]: 35 [1] , given: 0

Re: Money money! [#permalink]  02 Dec 2009, 12:36
1
KUDOS
The question is phrased a bit poorly IMO; is this an OG question?

If you want to use numbers, it may be easiest to "test" the answers. For instance:

Take Home Pay (THP) = $100 1) Save (S) 50/month Not-Save (NS) 50/month Total S = 50*12 = 600 NS*3 = 150 600 <> 150 2)S 33/mo NS 66/mo 33*12 = 396 66*3 = 198 396 <> 198 3) S 25/mo NS 75/mo 25*12 = 300 75*3 = 225 300 <> 225 4) S 20/mo NS 80/mo 20*12 = 240 80*3 = 240 240=240 1/5 is correct Manager Joined: 29 Jul 2009 Posts: 225 Followers: 3 Kudos [?]: 60 [0], given: 6 Re: Money money! [#permalink] 02 Dec 2009, 14:21 The answer is D and i worked it you the same was as srini123. I think what's confusing is the phrasing. Its 3 times the monthly pay and not overall annual pay. Had to read the question a couple of times to get that part. Senior Manager Affiliations: PMP Joined: 13 Oct 2009 Posts: 312 Followers: 4 Kudos [?]: 115 [0], given: 37 Re: Money money! [#permalink] 02 Dec 2009, 17:07 I wouldn't say the wording is ambiguous, its twisted and all, but is legitimate. I have seen such twisted, unambiguous word problem in actual GMAT and every1 shud expect such word questions. Good luck. _________________ Thanks, Sri ------------------------------- keep uppp...ing the tempo... Press +1 Kudos, if you think my post gave u a tiny tip Intern Joined: 31 Oct 2009 Posts: 38 Followers: 1 Kudos [?]: 35 [0], given: 0 Re: Money money! [#permalink] 02 Dec 2009, 17:17 The total amount of money that she had saved at the end of the year was 3 times the amount of that portion of her monthly take home pay that she did not save. To me, that is the ambiguous part. It's not really clear whether we're talking about 3 times the portion she didn't save for the entire year or for the month. Intern Joined: 30 Oct 2009 Posts: 14 Followers: 0 Kudos [?]: 1 [0], given: 4 Re: Money money! [#permalink] 02 Dec 2009, 17:38 Thank you very much everyone for replying!! The question is copied as it is from GMAT PREP.. no changes been made The ans is 1/5 right.. KUDOS for all! THANK YOU srini, jeckll, kirankp.. Re: Money money! [#permalink] 02 Dec 2009, 17:38 Similar topics Replies Last post Similar Topics: Money Borrowed and interest 3 08 Oct 2011, 06:27 Money Problem 2 15 Jun 2011, 11:04 1 A company wants to spend equal amounts of money for the 4 23 Oct 2006, 00:27 PS: When the money doubles? 4 28 Jul 2006, 21:47 The first prize money of the race is$125, the second \$40 3 28 May 2006, 17:17
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