Last visit was: 13 Jul 2024, 12:41 It is currently 13 Jul 2024, 12:41
Toolkit
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.
Request Expert Reply

# Andrew started saving at the beginning of the year and had saved $240 SORT BY: Tags: Show Tags Hide Tags Senior Manager Joined: 11 May 2014 Status:I don't stop when I'm Tired,I stop when I'm done Posts: 473 Own Kudos [?]: 39367 [131] Given Kudos: 220 Location: Bangladesh Concentration: Finance, Leadership GPA: 2.81 WE:Business Development (Real Estate) Most Helpful Reply Board of Directors Joined: 11 Jun 2011 Status:QA & VA Forum Moderator Posts: 6049 Own Kudos [?]: 4763 [19] Given Kudos: 463 Location: India GPA: 3.5 WE:Business Development (Commercial Banking) Director Joined: 04 Dec 2015 Posts: 620 Own Kudos [?]: 1614 [11] Given Kudos: 276 Location: India Concentration: Technology, Strategy WE:Information Technology (Consulting) General Discussion Senior SC Moderator Joined: 22 May 2016 Posts: 5327 Own Kudos [?]: 35753 [4] Given Kudos: 9464 Andrew started saving at the beginning of the year and had saved$240 [#permalink]
4
Kudos
Expert Reply
AbdurRakib wrote:
Andrew started saving at the beginning of the year and had saved $240 by the end of the year. He continued to save and by the end of 2 years had saved a total of$540. Which of the following is closest to the percent increase in the amount Andrew saved during the second year compared to the amount he saved during the first year?
A. 11%
B. 25%
C. 44%
D. 56%
E. 125%

I was a bit shocked at current stats of 45% incorrect.

Sometimes a simple sketch, for me, is better than an equation.

Andrew's savings from beginning to end of each year:

Year 1: 0$------>$240

Year 2: $240 ---->$540*

Year 1 amount saved is $240 Year 2 amt saved is (540 - 240) =$300

Percent increase = $$\frac{change}{original}$$:

$$\frac{(300-240)}{240}$$ = $$\frac{60}{240}$$ = $$\frac{1}{4}$$ = .25 x 100 = 25%

Answer B

*(Careful, maybe: I think it would be easy to misread "by the end of 2 years he had saved a total of $540" incorrectly as "at the end of the second year he had saved [another]$540." The latter yields answer E.)
Intern
Joined: 24 Jul 2017
Posts: 29
Own Kudos [?]: 67 [0]
Given Kudos: 38
Location: India
WE:Information Technology (Computer Software)
Re: Andrew started saving at the beginning of the year and had saved $240 [#permalink] Difference of 2 years savings and 1 year savings = 540 - 240 = 300 ---> 2nd year savings % increase in two years = (300 - 240)/240 * 100 = 25% Option B Manager Joined: 20 Jul 2018 Posts: 68 Own Kudos [?]: 76 [0] Given Kudos: 19 GPA: 2.87 Re: Andrew started saving at the beginning of the year and had saved$240 [#permalink]
Saving increases from 240 to 540 in second year
So
First year saving=240
Second year saving=300
Increased by=300-240=60
So percent of increase=(60/240)*100=25%

Answer B

Posted from my mobile device
Intern
Joined: 09 Aug 2018
Posts: 9
Own Kudos [?]: 3 [0]
Given Kudos: 134
Re: Andrew started saving at the beginning of the year and had saved $240 [#permalink] chetan2u Hi Chetan, I have a question: I calculated 25% but then added 100% to it so received 125%. What does the 125% represent..? Thank you for your help!! RC & DI Moderator Joined: 02 Aug 2009 Status:Math and DI Expert Posts: 11468 Own Kudos [?]: 34281 [0] Given Kudos: 322 Re: Andrew started saving at the beginning of the year and had saved$240 [#permalink]
Expert Reply
lstsch wrote:
chetan2u

Hi Chetan, I have a question: I calculated 25% but then added 100% to it so received 125%. What does the 125% represent..? Thank you for your help!!

PLease elaborate on the question.

If you take 25% of something and add 100% to it - Depend on what this 100% is of
1) say there is a number a, so 25% of a = 0.25a. Add 100% of a, then it becomes 0.25a+a=1.25a. It is same as taking 25% MORE of a = a+0.25a=1.25a.
2) Now, say there is a number a, so 25% of a = 0.25a. But now you are adding 100% of 0.25a, then it becomes 0.25a+0.25a=0.5a.
Senior Manager
Joined: 25 Feb 2019
Posts: 279
Own Kudos [?]: 222 [0]
Given Kudos: 32
Re: Andrew started saving at the beginning of the year and had saved $240 [#permalink] IMO B amount saved in first year 240 amount saved at the end of second year 540 extra amount saved only in second year = 300 extra amount saved = 60 in percent = 60/250*100 = 25% award kudos if helpful .. Posted from my mobile device Director Joined: 14 Jul 2010 Status:No dream is too large, no dreamer is too small Posts: 959 Own Kudos [?]: 5009 [0] Given Kudos: 690 Concentration: Accounting Andrew started saving at the beginning of the year and had saved$240 [#permalink]
Top Contributor
AbdurRakib wrote:
Andrew started saving at the beginning of the year and had saved $240 by the end of the year. He continued to save and by the end of 2 years had saved a total of$540. Which of the following is closest to the percent increase in the amount Andrew saved during the second year compared to the amount he saved during the first year?
A. 11%
B. 25%
C. 44%
D. 56%
E. 125%

$$540-240=300$$ is the amount of saving of the second year.

$$300-240=60$$ excess savings in the second year.

The increase percentage $$= \frac{60}{240}*100=25$$%

The answer is $$B.$$
Non-Human User
Joined: 09 Sep 2013
Posts: 33963
Own Kudos [?]: 851 [0]
Given Kudos: 0
Re: Andrew started saving at the beginning of the year and had saved $240 [#permalink] 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: Andrew started saving at the beginning of the year and had saved$240 [#permalink]
Moderator:
Math Expert
94339 posts