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

It is currently 15 Sep 2019, 21:35

Close

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
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.

Close

Request Expert Reply

Confirm Cancel

An investor purchased a bond for p dollars on Monday. For a certain nu

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

Find Similar Topics 
Intern
Intern
avatar
B
Joined: 18 Nov 2017
Posts: 43
An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post Updated on: 25 May 2018, 19:37
20
00:00
A
B
C
D
E

Difficulty:

  95% (hard)

Question Stats:

48% (02:43) correct 52% (02:56) wrong based on 159 sessions

HideShow timer Statistics

An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.

Originally posted by 101mba101 on 25 May 2018, 04:03.
Last edited by niks18 on 25 May 2018, 19:37, edited 2 times in total.
Renamed the topic and edited the question.
Most Helpful Community Reply
Retired Moderator
avatar
D
Joined: 25 Feb 2013
Posts: 1191
Location: India
GPA: 3.82
GMAT ToolKit User Reviews Badge
An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 25 May 2018, 10:07
5
101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.


\(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)

\(=>\frac{r}{100} =\sqrt{\frac{(v+q)}{p}} - 1\)

\(=>\frac{r}{100} +1=\sqrt{\frac{(v+q)}{p}}\), Now square both sides to get

\(=>(\frac{r}{100}+1)^2 =\frac{(v+q)}{p}\)

\(=>p*(\frac{r}{100}+1)^2 =v+q\)

\(=>p*(\frac{r}{100}+1)^2-q=v\)

Now as he sells at price \(v\), hence he sells the bond after \(2\) days of increase and the third day of decrease

Option B
General Discussion
Director
Director
User avatar
V
Joined: 12 Feb 2015
Posts: 899
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 25 May 2018, 19:15
1
If the brackets are not there then how did you take the 100 on left hand side in step number two in your solution?

niks18 wrote:
CAMANISHPARMAR wrote:
Did you mean \(r = 100*[\sqrt{[fraction](v+q)/p[/fraction]} - 1]\)?


101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*\sqrt{\frac{(v+q)}{p}} - 1\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.


Hi CAMANISHPARMAR

the brackets are not there. bracket before 100 would imply that -1 will have to be multiplied by 100.

_________________
"Please hit :thumbup: +1 Kudos if you like this post" :student_man:

_________________
Manish :geek:

"Only I can change my life. No one can do it for me"
Retired Moderator
avatar
D
Joined: 25 Feb 2013
Posts: 1191
Location: India
GPA: 3.82
GMAT ToolKit User Reviews Badge
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 25 May 2018, 19:40
1
CAMANISHPARMAR wrote:
If the brackets are not there then how did you take the 100 on left hand side in step number two in your solution?

niks18 wrote:
CAMANISHPARMAR wrote:
Did you mean \(r = 100*[\sqrt{[fraction](v+q)/p[/fraction]} - 1]\)?


Hi CAMANISHPARMAR

yes you are correct. i thought of something otherwise. I have edited the question and my solution. Thanks for pointing it out.
Director
Director
User avatar
V
Joined: 12 Feb 2015
Posts: 899
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 25 May 2018, 11:19
Did you mean \(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)?


101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*\sqrt{\frac{(v+q)}{p}} - 1\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.

_________________
"Please hit :thumbup: +1 Kudos if you like this post" :student_man:

_________________
Manish :geek:

"Only I can change my life. No one can do it for me"
Retired Moderator
avatar
D
Joined: 25 Feb 2013
Posts: 1191
Location: India
GPA: 3.82
GMAT ToolKit User Reviews Badge
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 25 May 2018, 12:07
CAMANISHPARMAR wrote:
Did you mean \(r = 100*[\sqrt{[fraction](v+q)/p[/fraction]} - 1]\)?


101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*\sqrt{\frac{(v+q)}{p}} - 1\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.


Hi CAMANISHPARMAR

the brackets are not there. bracket before 100 would imply that -1 will have to be multiplied by 100.
Manager
Manager
avatar
B
Joined: 27 Jun 2015
Posts: 57
WE: Information Technology (Computer Software)
GMAT ToolKit User
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 25 May 2018, 20:26
101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.



Can you please provide the OE?
Intern
Intern
avatar
B
Joined: 29 May 2019
Posts: 3
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 01 Aug 2019, 01:37
Bunuel Can you please explain here?
Intern
Intern
avatar
B
Joined: 30 Jul 2019
Posts: 6
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 04 Aug 2019, 15:30
Anyone think taking derivatives for this problem is a good idea?

Posted from my mobile device
Intern
Intern
avatar
B
Joined: 30 Jul 2019
Posts: 6
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 04 Aug 2019, 15:32
101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.




Could we instead use derivatives?

Posted from my mobile device
Senior Manager
Senior Manager
User avatar
G
Joined: 19 Nov 2017
Posts: 251
Location: India
Schools: ISB
GMAT 1: 670 Q49 V32
GPA: 4
Premium Member
Re: An investor purchased a bond for p dollars on Monday. For a certain nu  [#permalink]

Show Tags

New post 08 Sep 2019, 01:32
101mba101 wrote:
An investor purchased a bond for p dollars on Monday. For a certain number of days, the value of the bond increased by r percent per day. After this period of constant increase, the bond decreased the next day by q dollars and the investor decided to sell the bond that day for v dollars. When did the investor sell the bond if

\(r = 100*[\sqrt{\frac{(v+q)}{p}} - 1]\)?


A. Two working days later.

B. Three working days later.

C. Four working days later.

D. Five working days later.

E. Six working days later.


Okay I think I got a shortcut method here and I am not sure whether anyone else has suggested this.

In the question the value of r has a square root in it, meaning that in the compound interest formula, the value n = 2. This means that if the bond was purchased on Monday, then value of n on Monday would be 0, on Tuesday, it would be 1, and on Wednesday, it would the 2. On Thursday, the price falls and the bond is sold that very day.

Tuesday is one working day later
Wednesday is two working days later
Thursday is three working days later

Hence, answer is B.
_________________

Vaibhav



Sky is the limit. 800 is the limit.

~GMAC
GMAT Club Bot
Re: An investor purchased a bond for p dollars on Monday. For a certain nu   [#permalink] 08 Sep 2019, 01:32
Display posts from previous: Sort by

An investor purchased a bond for p dollars on Monday. For a certain nu

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  





Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne