GMAT Question of the Day - Daily to your Mailbox; hard ones only

 It is currently 18 Aug 2018, 21:14

### GMAT Club Daily Prep

#### 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

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

# A small radio station was jointly owned by two partners unti

Author Message
TAGS:

### Hide Tags

Director
Joined: 14 Dec 2012
Posts: 806
Location: India
Concentration: General Management, Operations
GMAT 1: 700 Q50 V34
GPA: 3.6
A small radio station was jointly owned by two partners unti  [#permalink]

### Show Tags

26 Aug 2013, 09:48
3
9
00:00

Difficulty:

95% (hard)

Question Stats:

43% (01:45) correct 57% (01:43) wrong based on 390 sessions

### HideShow timer Statistics

A small radio station was jointly owned by two partners until it was acquired by a larger media corporation. Each partner sold some of his shares for cash, and exchanged the rest for shares of the acquiring corporation. If the senior partner sold 1,200 shares, and the junior partner exchanged 800 shares, what is the greatest possible number of shares the senior partner exchanged?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station.

(2) Fewer than half of the station’s shares were sold.

_________________

When you want to succeed as bad as you want to breathe ...then you will be successfull....

GIVE VALUE TO OFFICIAL QUESTIONS...

learn AWA writing techniques while watching video : http://www.gmatprepnow.com/module/gmat-analytical-writing-assessment

MBA Section Director
Status: Back to work...
Affiliations: GMAT Club
Joined: 22 Feb 2012
Posts: 5252
Location: India
City: Pune
GMAT 1: 680 Q49 V34
GPA: 3.4
Re: A small radio station was jointly owned by two partners unti  [#permalink]

### Show Tags

26 Aug 2013, 11:13
4
2
blueseas wrote:
A small radio station was jointly owned by two partners until it was acquired by a larger media corporation. Each partner sold some of his shares for cash, and exchanged the rest for shares of the acquiring corporation. If the senior partner sold 1,200 shares, and the junior partner exchanged 800 shares, what is the greatest possible number of shares the senior partner exchanged?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station.

(2) Fewer than half of the station’s shares were sold.

Let the senior partner be A and junior be B

Total shares of A = 1200 (sold shares) + x (exchanged shares)
Total shares of B = y (sold shares) + 800 (exchanged shares)
Sold Shares = 1200 + y ----------------------{1}
Exchanged shares = x + 800 ---------------{2}

Total shares = 1200 + x + y + 800 -------> 2000 + x + y

what is the greatest possible number of shares the senior partner exchanged? --------> What is greatest possible integer value does x can take ?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station. ----------> Total shares = 4000 = 2000 + x + y -------> 2000 = x+y ---------> x can be 1999 max. Sufficient.

(2) Fewer than half of the station’s shares were sold. ---------> Fewer than half of the (2000 + x + y) shares were sold.

We know from the {1} that sold shares are equal to (1200 + y) ---------> So $$1200 + y < \frac{2000+x+y}{2}$$ ---------->

-----> $$2400 + 2y < 2000 + x + y$$ --------> $$400 < x - y$$ ---------> $$x - y > 400$$ -----> x can take any value. Hence Not sufficient.
Choice A
_________________
##### General Discussion
Intern
Joined: 18 Jul 2012
Posts: 11
Re: A small radio station was jointly owned by two partners unti  [#permalink]

### Show Tags

26 Aug 2013, 10:08
Though B will never help to answer, Can anyone enlighten how will A help to reach the answer?
Intern
Joined: 07 Mar 2014
Posts: 10
Concentration: Marketing, Finance
GMAT 1: 660 Q50 V29
GMAT 2: 690 Q50 V33
Re: A small radio station was jointly owned by two partners unti  [#permalink]

### Show Tags

27 May 2014, 05:05
2
Narenn wrote:
blueseas wrote:
A small radio station was jointly owned by two partners until it was acquired by a larger media corporation. Each partner sold some of his shares for cash, and exchanged the rest for shares of the acquiring corporation. If the senior partner sold 1,200 shares, and the junior partner exchanged 800 shares, what is the greatest possible number of shares the senior partner exchanged?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station.

(2) Fewer than half of the station’s shares were sold.

Let the senior partner be A and junior be B

Total shares of A = 1200 (sold shares) + x (exchanged shares)
Total shares of B = y (sold shares) + 800 (exchanged shares)
Sold Shares = 1200 + y ----------------------{1}
Exchanged shares = x + 800 ---------------{2}

Total shares = 1200 + x + y + 800 -------> 2000 + x + y

what is the greatest possible number of shares the senior partner exchanged? --------> What is greatest possible integer value does x can take ?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station. ----------> Total shares = 4000 = 2000 + x + y -------> 2000 = x+y ---------> x can be 1999 max. Sufficient.

(2) Fewer than half of the station’s shares were sold. ---------> Fewer than half of the (2000 + x + y) shares were sold.

We know from the {1} that sold shares are equal to (1200 + y) ---------> So $$1200 + y < \frac{2000+x+y}{2}$$ ---------->

-----> $$2400 + 2y < 2000 + x + y$$ --------> $$400 < x - y$$ ---------> $$x - y > 400$$ -----> x can take any value. Hence Not sufficient.
Choice A

If i apply the same logic you used for option 'a' then since in option 'b' it is mentioned that "Fewer than half of the station’s shares were sold" .My main goal is to maximize 'x' and 2000 + x + y=4000 which is the total number of shares so if again i put y=1 then x=1999 which is the maximum value that x can take .Also the other condition "Fewer than half of the station’s shares were sold" i.e 1201 is satisfied. So the answer should be D.
Intern
Joined: 25 Aug 2014
Posts: 7
Re: A small radio station was jointly owned by two partners unti  [#permalink]

### Show Tags

18 May 2016, 10:12
Narenn wrote:
blueseas wrote:
A small radio station was jointly owned by two partners until it was acquired by a larger media corporation. Each partner sold some of his shares for cash, and exchanged the rest for shares of the acquiring corporation. If the senior partner sold 1,200 shares, and the junior partner exchanged 800 shares, what is the greatest possible number of shares the senior partner exchanged?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station.

(2) Fewer than half of the station’s shares were sold.

Let the senior partner be A and junior be B

Total shares of A = 1200 (sold shares) + x (exchanged shares)
Total shares of B = y (sold shares) + 800 (exchanged shares)
Sold Shares = 1200 + y ----------------------{1}
Exchanged shares = x + 800 ---------------{2}

Total shares = 1200 + x + y + 800 -------> 2000 + x + y

what is the greatest possible number of shares the senior partner exchanged? --------> What is greatest possible integer value does x can take ?

(1) Before the acquisition, the partners jointly owned 4,000 shares of the radio station. ----------> Total shares = 4000 = 2000 + x + y -------> 2000 = x+y ---------> x can be 1999 max. Sufficient.

(2) Fewer than half of the station’s shares were sold. ---------> Fewer than half of the (2000 + x + y) shares were sold.

We know from the {1} that sold shares are equal to (1200 + y) ---------> So $$1200 + y < \frac{2000+x+y}{2}$$ ---------->

-----> $$2400 + 2y < 2000 + x + y$$ --------> $$400 < x - y$$ ---------> $$x - y > 400$$ -----> x can take any value. Hence Not sufficient.
Choice A

This is exactly how I solved this but the following explanation by Kaplan made me question my solution;

This Value question asks for the greatest possible number of shares a senior partner exchanged during an acquisition. Let’s call that number x. For sufficiency, we need to be able to answer the question with a single value.

We’re told that the senior partner sold 1,200 shares; if a statement tells us how many shares he had to start with, we’ll know how many he exchanged (x = [total owned by senior partner] – 1,200). But the question asks about the greatest possible number of shares he exchanged. This suggests we won’t learn the actual amount and will have to think about how the number of shares is limited.

Since we’re interested in the senior partner holding as many shares as possible, we want the junior partner to have as few as possible. The junior partner exchanges 800, but we aren’t told how many he sells. He must sell some, so the smallest possible number he sells is 1. Therefore, the smallest possible number of station shares held by the junior partner is 801.

This means that [total owned by senior partner] = [total of all radio station shares] – 801. To answer the question, we need the total of all the radio station’s shares. From that, we can calculate the number of shares owned by the senior partner, and from that we can calculate how many he exchanged.

Evaluate the Statements:

Statement (1): This statement gives us exactly what our analysis of the question stem told us that we need—the total shares of the radio station. Statement (1) is Sufficient to answer the question. Eliminate choices (B), (C), and (E).

Statement (2): We are told that fewer than half the initial shares were sold, and 1,201 is the smallest possible number of shares that were sold, so the total number of shares is larger than 2,402. But we still don’t know the exact number of shares, so Statement (2) is Insufficient to answer the question. Eliminate choice (D).

Therefore, Choice (A) is correct.
Intern
Joined: 20 Nov 2017
Posts: 26
Location: India
GRE 1: Q158 V150
GPA: 3.9
WE: Consulting (Consumer Electronics)
Re: A small radio station was jointly owned by two partners unti  [#permalink]

### Show Tags

15 Jul 2018, 16:26
Bunuel

Could you please explain why statement B is insufficient.
Going by the same logic as that of A, keeping the shares sold by the junior partner to be '1' provides the greatest possible number of shares the senior partner exchanged.

Please let me know where I am making a mistake.
Re: A small radio station was jointly owned by two partners unti &nbs [#permalink] 15 Jul 2018, 16:26
Display posts from previous: Sort by

# Events & Promotions

 Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.