A bank customer borrowed $10,000, but received y dollars les

Question

A bank customer borrowed $10,000, but received y dollars less than this due to discounting. If there was a separate $25 service charge, then, in terms of y, the service charge was what fraction of the amount that the customer received?

A. 25/(10,000 - y)
B. 25/(10,000 - 25y)
C. 25y/(10,000 - y)
D. (y - 25)/(10,000 - y)
E. 25/(10,000 - (y - 25))

A. 25/(10,000 - y)
B. 25/(10,000 - 25y)
C. 25y/(10,000 - y)
D. (y - 25)/(10,000 - y)
E. 25/(10,000 - (y - 25))

vivekvijayan · Accepted Answer

Should the question be framed a little differently?
I misinterpreted the question and thought that the 25$ were in addition to Y dollars and selected E

Bunuel · Answer

The amount of money the customer received was (10,000 - y) dollars. The $25 service charge as a fraction of the amount received was, therefore, 25/(10,000 - y).

Answer: A.

Vetrik · Answer

Vivek...even i that case the denominator would have been 10000-y-25 and not 10000-(y-25)

AliciaSierra · Answer

I too thought received amount should be 10,000-y-25.
Service charge as a fraction of received amount should be  \frac{25}{(10000-y-25)} . 
As I could not find this answer in any option, I selected option A, thinking 10000-y-25 is approximate equal to 10000-y.

Regards,
Ammu

jaspreets · Answer

Ok i understood the amount received is 10,000-y and service charge is $25, however ,why 25 is in numerator and why received amount is in the denominator, could someone pls tell me the logic. Thank You.

Bunuel · Answer

Read the question carefully: in terms of y, the service charge was what   FRACTION   of the amount that the customer received?

jaspreets · Answer

Thanks,understood now

AliciaSierra · Answer

won't the amount received be 10000-y-25 ?

Bunuel · Answer

No, it would be 1000 - y: A bank customer borrowed $10,000,  but received y dollars less .

muthappashivani · Answer

I am still confused why is the amount finally received be 10000-y-25?? Than you

AliciaSierra · Answer

I thought amount received will be "amount borrowed - y dollar - service charge".
If I have to pay service charges then I may consider in hand money be Borrowed- service charges.

Regards,
Amm

Bunuel · Answer

The stem clearly says that "A bank  customer  borrowed $10,000, but  received y dollars less ".

ScottTargetTestPrep · Answer

The customer received 10000 - y dollars. Therefore, the service charge was 25/(10000 - y) of the amount that the customer received.

Answer: A

SUV0508 · Answer

Very poorly sentenced question. If service charge is involved one would expect it to be added to the amount obtained after the discount applied

Bunuel · Answer

Mind you that this is an official question. The wording is as good as it gets.

IME2024 · Answer

Bunuel , please explain "If there was a separate $25 service charge" - What role does the word "separate" plays here.

Thanks!

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A bank customer borrowed $10,000, but received y dollars les

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