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If Ms = 10,000, then Me = 20,000 Mt = 30,000
If Ms can be 15,000 then Me = 90,000 Mt = 90,000
etc.
Ms can be of any value as long as it's below 20,000 since Ms + Ss = 20,000.

DS: Challenge Problem [#permalink]
11 Sep 2007, 18:01

I disagree with answer.

What is Sarah's annual income?
(1) Sarah and Mary earn an annual income in the ratio of 4:3
(2) Sarah and Mary spend money in the in the ratio of 3:2 and together save $20,000 annually

I think answer is C. Challenges say E. Agree with me?

Re: DS: Challenge Problem [#permalink]
11 Sep 2007, 18:16

dr908 wrote:

I disagree with answer.

What is Sarah's annual income? (1) Sarah and Mary earn an annual income in the ratio of 4:3 (2) Sarah and Mary spend money in the in the ratio of 3:2 and together save $20,000 annually

I think answer is C. Challenges say E. Agree with me?

Clear E . I dont think these 2 stmnts are related to each other to solve the problem.

Re: DS: Challenge Problem [#permalink]
11 Sep 2007, 18:22

dr908 wrote:

I disagree with answer.

What is Sarah's annual income? (1) Sarah and Mary earn an annual income in the ratio of 4:3 (2) Sarah and Mary spend money in the in the ratio of 3:2 and together save $20,000 annually

I think answer is C. Challenges say E. Agree with me?

Challenges are correct.
Answer should be 'E', as you can not get the Sarah's income with the given info.

i see why now. because though i can find values that would add up to the 200 k, there are many different answers for mary's income. i could just vary the money they spent.

Re: DS: Challenge Problem [#permalink]
11 Sep 2007, 20:30

dr908 wrote:

I disagree with answer.

What is Sarah's annual income? (1) Sarah and Mary earn an annual income in the ratio of 4:3 (2) Sarah and Mary spend money in the in the ratio of 3:2 and together save $20,000 annually

I think answer is C. Challenges say E. Agree with me?

what you may have missed here is .. they together save 20,000 annually. Had they each saved 20,000 annually we could have got C.

Re: What is Sarah's annual income? [#permalink]
10 May 2014, 10:01

Let S = Sarah's annual income Let M = Mary's annual income Let x = the amount Sarah spends each year Let y = the amount Mary spends each year

Rephrased target question: What is the value of S?

Statement 1: Sarah and Mary earn an annual income in the ratio of 4:3 In other words: S/M = 4:3 Cross multiply to get 3S = 4M Simplify: 3S - 4M = 0 We can't find the value of S, so statement 1 is NOT SUFFICIENT

Statement 2: Sarah and Mary spend money in the ratio of 3:2 and together save $20,000, annually.

Sarah and Mary spend money in the ratio of 3:2 We get x/y = 3/2 Simplify to get: 2x - 3y = 0

Together they save $20,000 annually Sarah's savings + Mary's savings = 20,000 (S - x) + (M - y) = 20,000

We can't find the value of S, so statement w is NOT SUFFICIENT

Statements 1 and 2 combined: We now know that: 3S - 4M = 0 2x - 3y = 0 (S - x) + (M - y) = 20,000

Since we have 3 equations and 4 unknowns, we cannot solve this system for S. So, the combined statements are NOT SUFFICIENT

Hence Answer = E

gmatclubot

Re: What is Sarah's annual income?
[#permalink]
10 May 2014, 10:01