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

 It is currently 18 Jan 2019, 07:57

### 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

## Events & Promotions

###### Events & Promotions in January
PrevNext
SuMoTuWeThFrSa
303112345
6789101112
13141516171819
20212223242526
272829303112
Open Detailed Calendar
• ### Free GMAT Strategy Webinar

January 19, 2019

January 19, 2019

07:00 AM PST

09:00 AM PST

Aiming to score 760+? Attend this FREE session to learn how to Define your GMAT Strategy, Create your Study Plan and Master the Core Skills to excel on the GMAT.
• ### FREE Quant Workshop by e-GMAT!

January 20, 2019

January 20, 2019

07:00 AM PST

07:00 AM PST

Get personalized insights on how to achieve your Target Quant Score.

# A survey of employers found that during 1993 employment cost

Author Message
Director
Status: No dream is too large, no dreamer is too small
Joined: 14 Jul 2010
Posts: 516
A survey of employers found that during 1993 employment cost  [#permalink]

### Show Tags

10 Mar 2011, 11:06
1
14
00:00

Difficulty:

45% (medium)

Question Stats:

76% (01:14) correct 24% (01:50) wrong based on 228 sessions

### HideShow timer Statistics

A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefit costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993 ?

(A) 16.5%
(B) 20%
(C) 35%
(D) 55%
(E) 65%

OPEN DISCUSSION OF THIS QUESTION IS HERE: a-survey-of-employers-found-that-during-1993-employment-cost-168678.html

_________________

Collections:-
PSof OG solved by GC members: http://gmatclub.com/forum/collection-ps-with-solution-from-gmatclub-110005.html
DS of OG solved by GC members: http://gmatclub.com/forum/collection-ds-with-solution-from-gmatclub-110004.html
100 GMAT PREP Quantitative collection http://gmatclub.com/forum/gmat-prep-problem-collections-114358.html
Collections of work/rate problems with solutions http://gmatclub.com/forum/collections-of-work-rate-problem-with-solutions-118919.html
Mixture problems in a file with best solutions: http://gmatclub.com/forum/mixture-problems-with-best-and-easy-solutions-all-together-124644.html

Manager
Joined: 14 Feb 2011
Posts: 175
Re: 154. A survey of employers found  [#permalink]

### Show Tags

10 Mar 2011, 11:13
1
6
Baten80 wrote:
154. A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
a. 16.5%
b. 20%
c. 35%
d. 55%
e. 65%

Note that one element increased 3% and another one 5.5% and weighted average increase is closer to smaller increment so clearly that has higher weight. Weightage of fringe benefits is $$(3.5-3.0)/(5.5-3.0)*100 = 20%$$
Director
Status: No dream is too large, no dreamer is too small
Joined: 14 Jul 2010
Posts: 516
Re: 154. A survey of employers found  [#permalink]

### Show Tags

Updated on: 11 Mar 2011, 08:07
1
1
beyondgmatscore wrote:
Baten80 wrote:
154. A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
a. 16.5%
b. 20%
c. 35%
d. 55%
e. 65%

Note that one element increased 3% and another one 5.5% and weighted average increase is closer to smaller increment so clearly that has higher weight. Weightage of fringe benefits is $$(3.5-3.0)/(5.5-3.0)*100 = 20%$$

Is this approach can be applied for the following PS

A certain company that sells only cars and trucks reported that revenues from car sales in 1997 were down 11 percent from 1996 and revenues from truck sales in 1997 were up 7 percent from 1996. If total revenues from car sales and truck sales in 1997 were up 1 % from 1996, what is the ratio of revenue from car sales in 1996 to revenue from truck sales in 1996?
1:2
4:5
1:1
3:2
5:3
_________________

Collections:-
PSof OG solved by GC members: http://gmatclub.com/forum/collection-ps-with-solution-from-gmatclub-110005.html
DS of OG solved by GC members: http://gmatclub.com/forum/collection-ds-with-solution-from-gmatclub-110004.html
100 GMAT PREP Quantitative collection http://gmatclub.com/forum/gmat-prep-problem-collections-114358.html
Collections of work/rate problems with solutions http://gmatclub.com/forum/collections-of-work-rate-problem-with-solutions-118919.html
Mixture problems in a file with best solutions: http://gmatclub.com/forum/mixture-problems-with-best-and-easy-solutions-all-together-124644.html

Originally posted by Baten80 on 10 Mar 2011, 11:55.
Last edited by Baten80 on 11 Mar 2011, 08:07, edited 1 time in total.
Manager
Joined: 14 Feb 2011
Posts: 175
Re: 154. A survey of employers found  [#permalink]

### Show Tags

10 Mar 2011, 12:29
Baten80 wrote:
beyondgmatscore wrote:
Baten80 wrote:
154. A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
a. 16.5%
b. 20%
c. 35%
d. 55%
e. 65%

Note that one element increased 3% and another one 5.5% and weighted average increase is closer to smaller increment so clearly that has higher weight. Weightage of fringe benefits is $$(3.5-3.0)/(5.5-3.0)*100 = 20%$$

Is this approach can be applied for the following PS

A certain company that sells only cars and trucks reported that revenues from car sales in 1997 were down from 1996 and revenues from truck sales in 1997 were up 7 perent from 1996. If total revenues from car sales and truck sales in 1997 were up 1 % from 1996, what is the ratio of revenue from car sales in 1996 to revenue from truck sales in 1996?
1:2
4:5
1:1
3:2
5:3

Yes - it can be applied provided we know the % decline in Car sales in 1997 over 1996. I think that data is missing in the problem you posted. If I pick up a number , say -3% for car sales, then weightage of cars would be $$(7-1)/((7-(-3))*100 = 60%$$ and weightage of truck would then be 40% and the ratio of car sales to truck sales would be$$60/40 = 3:2.$$
Retired Moderator
Joined: 16 Nov 2010
Posts: 1420
Location: United States (IN)
Concentration: Strategy, Technology
Re: 154. A survey of employers found  [#permalink]

### Show Tags

11 Mar 2011, 00:50
2
My take on this:

EC = SC + FC

EC1 = SC1 + FC1

103.5EC = 103SC + FC105.5

So 103EC = 103SC + 103FC

=> 0.5EC = 2.5FC

=> FC/EC = 5/25 * 100 = 20%

_________________

Formula of Life -> Achievement/Potential = k * Happiness (where k is a constant)

GMAT Club Premium Membership - big benefits and savings

Intern
Joined: 05 Jul 2011
Posts: 4
Re: 154. A survey of employers found  [#permalink]

### Show Tags

14 Jul 2011, 10:15
2
Baten80 wrote:
154. A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
a. 16.5%
b. 20%
c. 35%
d. 55%
e. 65%

In my view easiest method would be, eliminating the percentage sign
Let 3.5 be 35
5.5 be 55
and 3 be 30

then first eq: S+F=E

130S+155F=135E

5s=20F
therefore, s=4F and then E=5F
F/E=F/5F=20%
Manager
Joined: 15 Aug 2013
Posts: 247
Re: 154. A survey of employers found  [#permalink]

### Show Tags

25 May 2014, 16:33
beyondgmatscore wrote:
Baten80 wrote:
154. A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
a. 16.5%
b. 20%
c. 35%
d. 55%
e. 65%

Note that one element increased 3% and another one 5.5% and weighted average increase is closer to smaller increment so clearly that has higher weight. Weightage of fringe benefits is $$(3.5-3.0)/(5.5-3.0)*100 = 20%$$

Can you please elaborate on this a little more?

Would it favor the salary costs and not the fringe costs? A little confused by your equation still...

Thanks.
Math Expert
Joined: 02 Sep 2009
Posts: 52284
Re: 154. A survey of employers found  [#permalink]

### Show Tags

25 May 2014, 22:41
3
1
4
russ9 wrote:
beyondgmatscore wrote:
Baten80 wrote:
154. A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
a. 16.5%
b. 20%
c. 35%
d. 55%
e. 65%

Note that one element increased 3% and another one 5.5% and weighted average increase is closer to smaller increment so clearly that has higher weight. Weightage of fringe benefits is $$(3.5-3.0)/(5.5-3.0)*100 = 20%$$

Can you please elaborate on this a little more?

Would it favor the salary costs and not the fringe costs? A little confused by your equation still...

Thanks.

A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefit costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993 ?

(A) 16.5%
(B) 20%
(C) 35%
(D) 55%
(E) 65%

The amount by which employment costs rose is equal to 0.035(salary costs + fringe benefit costs);

On the other hand the amount by which employment costs rose is equal to 0.03*salary costs + 0.055*fringe benefit costs;

So, 35(S+F) = 30S+55F --> S = 4F --> F/S = 1/4 --> F/(S+F) = 1/(1+4) = 1/5 = 0.2.

OPEN DISCUSSION OF THIS QUESTION IS HERE: a-survey-of-employers-found-that-during-1993-employment-cost-168678.html
_________________
Non-Human User
Joined: 09 Sep 2013
Posts: 9426
Re: A survey of employers found that during 1993 employment cost  [#permalink]

### Show Tags

26 Jul 2018, 22:41
1
Hello from the GMAT Club BumpBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

Want to see all other topics I dig out? Follow me (click follow button on profile). You will receive a summary of all topics I bump in your profile area as well as via email.
_________________
Re: A survey of employers found that during 1993 employment cost &nbs [#permalink] 26 Jul 2018, 22:41
Display posts from previous: Sort by