If 1/2 of the money in a certain trust fund was invested in stocks, 1/

Question

If 1/2 of the money in a certain trust fund was invested in stocks, 1/4 in bonds, 1/5 in a mutual fund, and the remaining $10,000 in a government certificate, what was the total amount of the trust fund?

(A) S 100,000
(B) S 150,000
(C) S 200,000
(D) S 500,000
(E) $2,000,000

(A) $100,000
(B) $150,000
(C) $200,000
(D) $500,000
(E) $2,000,000

Bunuel · Accepted Answer

SOLUTION

If 1/2 of the money in a certain trust fund was invested in stocks, 1/4 in bonds, 1/5 in a mutual fund, and the remaining $10,000 in a government certificate, what was the total amount of the trust fund?

(A) S 100,000
(B) S 150,000
(C) S 200,000
(D) S 500,000
(E) $2,000,000

(A) S 100,000
(B) S 150,000
(C) S 200,000
(D) S 500,000
(E) $2,000,000

1/2 + 1/4 + 1/5 = 19/20. Thus the remaining 1/20 was invested in government certificate: 1/20*(total) = 10,000 --> (total) = 200,000.

Answer: C.

PareshGmat · Answer

Let the total amount be x

\frac{x}{2} + \frac{x}{4} + \frac{x}{5} + 10000 = x

\frac{x}{20} = 10000

x = 200000 = Answer = C

mike34170 · Answer

This equation appears really often on the gmat, though with different forms.

Quick tip: remember that the balance is 1/20 when you add up 1/2 + 1/4 + 1/5 + 1/X = 100%

Abhishek009 · Answer

Let the total amount be 20

Trust Fund = 10
Bonds = 5
Mutual Fund = 4

Amount left = 1 ~ $ 10,000

So, Total amount was 20*10000 = $2,00,000

Hence, answer will be (C) $2,00,000

ScottTargetTestPrep · Answer

If we let T = the total amount of the trust fund, we can create the following equation:

(1/2)T + (1/4)T + (1/5)T + 10,000 = T

Multiplying the entire question by 20 gives us:

10T + 5T + 4T + 200,000 = 20T

19T + 200,000 = 20T

200,000 = T

Answer: C

jalice · Answer

Let total amount of money in a trust fund be $x.
Amount invested in stocks=1/2=50%
Amount invested in bonds=1/4=25%
Amount invested in mutual fund=1/5=20%
Add all=50%+25%+20%=95%, Left=5%
5% of x=10000, x=200000

Answer(C)

21savage21 · Answer

I did it a slightly different way, I used decimals (which I usually wouldn't do since working with fractions is easier.)

1/4 = .25
1/5 = .20
1/2 = .50

0.20 + 0.25 + 0.50 = 0.95
What does 0.95 mean? Well, if $10,000 is the  remainder  than it is the 5%.

I converted back to fraction form and simplified (getting rid of the zeros)

10 = 1/20x
20*10 = 200

Add back the 0's 
$200,000

DanTheGMATMan · Answer

Classic word problem:

https://www.youtube.com/watch?v=9Vh0n6aknM8

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