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.

It appears that you are browsing the GMAT Club forum unregistered!

Signing up is free, quick, and confidential.
Join other 500,000 members and get the full benefits of GMAT Club

Registration gives you:

Tests

Take 11 tests and quizzes from GMAT Club and leading GMAT prep companies such as Manhattan GMAT,
Knewton, and others. All are free for GMAT Club members.

Applicant Stats

View detailed applicant stats such as GPA, GMAT score, work experience, location, application
status, and more

Books/Downloads

Download thousands of study notes,
question collections, GMAT Club’s
Grammar and Math books.
All are free!

Thank you for using the timer!
We noticed you are actually not timing your practice. Click the START button first next time you use the timer.
There are many benefits to timing your practice, including:

Over the last two years who made more investing in stock [#permalink]
19 Oct 2012, 05:06

2

This post was BOOKMARKED

00:00

A

B

C

D

E

Difficulty:

65% (hard)

Question Stats:

46% (01:56) correct
54% (01:23) wrong based on 177 sessions

Over the last two years who made more investing in stock market Lisa or Kalley.

(1) Lisa made an average (arithmetic mean) return 20 % while Kalley made an average (arithmetic mean) return of 5% (2) Kalley started with two times as much money as Lisa

What is the strategy for solving these type of questions?

Re: Over the last two years who made more investing in stock [#permalink]
19 Oct 2012, 09:02

I am gonna have to choose 'E'. Here's my reason:

1. For Lisa: its Total Returns/Total investment = Rtl/Itl = 0.2 For Kalley: its Total Returns/Total investment = Rtk/Itk = 0.05 Even though it is possible that Lisa might have invested more to get more returns, it is not always true. Kalley might have invested more than what Lisa did and her investments didnt do well. So 'A' is not an answer option.

2. Kalley "started" with twice as investments as Lisa's. We dont know yet what the total investments for these two people are. So 'B' isn't helping either. So I chose answer 'E'. Thanks!

Re: Over the last two years who made more investing in stock [#permalink]
09 Dec 2013, 07:43

vijaygmat wrote:

Over the last two years who made more investing in stock market Lisa or Kalley.

(1) Lisa made an average (arithmetic mean) return 20 % while Kalley made an average (arithmetic mean) return of 5% (2) Kalley started with two times as much money as Lisa

What is the strategy for solving these type of questions?

Obviously both statements alone are not sufficient

Now (1)+(2)

L made 20%, K made 5% K invested more

Can we know who made more money? NO

If K 100 and L 1 then K If K 100 and L 99 then L

Hence E is the correct answer

Changed my mind buddy Gimme Kuddos now!

Cheers! J

Last edited by jlgdr on 29 Dec 2013, 09:12, edited 1 time in total.

Re: Over the last two years who made more investing in stock [#permalink]
12 Dec 2013, 03:38

jlgdr wrote:

vijaygmat wrote:

Over the last two years who made more investing in stock market Lisa or Kalley.

(1) Lisa made an average (arithmetic mean) return 20 % while Kalley made an average (arithmetic mean) return of 5% (2) Kalley started with two times as much money as Lisa

What is the strategy for solving these type of questions?

Obviously both statements alone are not sufficient

Now (1)+(2)

1/5(2x)>1/20(x)

8x>x?

Well 'x' represents the amount of money so it has to be positive. Therefore IMO both statetements should be enough

Please advice because I suspect that there may be something wrong with the line of reasoning Cheers J

I did it just like you and chose C - which is wrong.

Re: Over the last two years who made more investing in stock [#permalink]
12 Dec 2013, 12:39

unceldolan wrote:

jlgdr wrote:

vijaygmat wrote:

Over the last two years who made more investing in stock market Lisa or Kalley.

(1) Lisa made an average (arithmetic mean) return 20 % while Kalley made an average (arithmetic mean) return of 5% (2) Kalley started with two times as much money as Lisa

What is the strategy for solving these type of questions?

Obviously both statements alone are not sufficient

Now (1)+(2)

1/5(2x)>1/20(x)

8x>x?

Well 'x' represents the amount of money so it has to be positive. Therefore IMO both statetements should be enough

Please advice because I suspect that there may be something wrong with the line of reasoning Cheers J

I did it just like you and chose C - which is wrong.

bumping for further explanation.

The 2nd statement says Kalley started with two times as much money as Lisa, the keyword here is started with. Now they may have started with 2x and x amounts respectively but they might invest more money during the course of 2 years in question. So even taking (1) & (2) statements together doesn't answer the question.

Re: Over the last two years who made more investing in stock [#permalink]
24 Jun 2014, 06:59

Quote:

The 2nd statement says Kalley started with two times as much money as Lisa, the keyword here is started with. Now they may have started with 2x and x amounts respectively but they might invest more money during the course of 2 years in question. So even taking (1) & (2) statements together doesn't answer the question.

Correct Ans: E

I am not sure if we are supposed to consider outside information or assumptions such as but they might invest more money during the course of 2 years in question when solving DS questions. With the given constraints and without considering the highlighted assumption, wouldn't the answer be C? Kelly = 2x and made 5% Lisa = x and made 20% Even if Kelly made zero profit and stayed at 2x, in order for Lisa to catch up with Kelly, she has to make at least 100% on her investment. So, Kelly made more money. Answer C.

Re: Over the last two years who made more investing in stock [#permalink]
28 Jun 2014, 11:21

Game wrote:

Quote:

The 2nd statement says Kalley started with two times as much money as Lisa, the keyword here is started with. Now they may have started with 2x and x amounts respectively but they might invest more money during the course of 2 years in question. So even taking (1) & (2) statements together doesn't answer the question.

Correct Ans: E

I am not sure if we are supposed to consider outside information or assumptions such as but they might invest more money during the course of 2 years in question when solving DS questions. With the given constraints and without considering the highlighted assumption, wouldn't the answer be C? Kelly = 2x and made 5% Lisa = x and made 20% Even if Kelly made zero profit and stayed at 2x, in order for Lisa to catch up with Kelly, she has to make at least 100% on her investment. So, Kelly made more money. Answer C.

It is not an assumption but a possible condition. In DS questions we are required to evaluate all the possible conditions. For e.g. even if a statement is true for all integers, we still have to evaluate for fractions. Now coming back to this question, since the question asks Over the last two years who made more investing in stock market Lisa or Kalley. so it is not enough to just consider the investments made at the beginning of the 2 years period. We have to consider the case if investments were made during the 2 years period.

In DS we have to be 100% sure that the statements provide enough information to answer the question. There cannot be an iota of doubt. _________________

Re: Over the last two years who made more investing in stock [#permalink]
13 May 2015, 02:49

vijaygmat wrote:

Over the last two years who made more investing in stock market Lisa or Kalley.

(1) Lisa made an average (arithmetic mean) return 20 % while Kalley made an average (arithmetic mean) return of 5% (2) Kalley started with two times as much money as Lisa

What is the strategy for solving these type of questions?

Tricky one !!!! missed the concept of "started with".

gmatclubot

Re: Over the last two years who made more investing in stock
[#permalink]
13 May 2015, 02:49

On September 6, 2015, I started my MBA journey at London Business School. I took some pictures on my way from the airport to school, and uploaded them on...

When I was growing up, I read a story about a piccolo player. A master orchestra conductor came to town and he decided to practice with the largest orchestra...

Today was the last day of our three-week Launch, that ended on a high note with a drinks and dance reception. The class decided to shift the party outside...

There is one comment that stands out; one conversation having made a great impression on me in these first two weeks. My Field professor told a story about a...