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

 It is currently 17 Oct 2019, 08:33

### 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

# If x dollars are invested at 12 percent for one year and y dollars are

Author Message
TAGS:

### Hide Tags

Senior RC Moderator
Joined: 02 Nov 2016
Posts: 4106
GPA: 3.39
If x dollars are invested at 12 percent for one year and y dollars are  [#permalink]

### Show Tags

31 Mar 2019, 08:21
00:00

Difficulty:

35% (medium)

Question Stats:

72% (02:46) correct 28% (01:47) wrong based on 18 sessions

### HideShow timer Statistics

If x dollars are invested at 12 percent for one year and y dollars are invested at 8 percent for one year, the annual income from the 8 percent investment will exceed the annual income from the 12 percent investment by \$64. If \$5,000 is the total amount invested between x and y, how much is invested at 12 percent?

A. \$1,680
B. \$1,997
C. \$3,003
D. \$3,320
E. \$3,500

Source: McGraw-Hill's GMAT

_________________
GMAT Tutor
Joined: 24 Jun 2008
Posts: 1806
Re: If x dollars are invested at 12 percent for one year and y dollars are  [#permalink]

### Show Tags

31 Mar 2019, 09:15
1
You could guess A almost instantly here and be nearly sure you're right -- to make more money at 8% than at 12%, you'll need to invest a lot more at 8%, so the answer, the investment at 12%, needs to be far less than half of the total, so much less than \$2500. So only A and B have any chance to be right, and for the difference to work out to an exact integer, \$64, there is no chance the answer could be something weird like \$1997.

But we can solve algebraically. If \$x is invested at 12%, we make 0.12x on that investment. The rest, 5000-x, is invested at 8%, so we make (0.08)(5000-x) on that. The difference in those two quantities is \$64, so we have:

0.08(5000 - x) - 0.12x = 64
400 - 0.08x - 0.12x = 64
336 = 0.2x
1680 = x
_________________
GMAT Tutor in Toronto

If you are looking for online GMAT math tutoring, or if you are interested in buying my advanced Quant books and problem sets, please contact me at ianstewartgmat at gmail.com
GMAT Club Legend
Joined: 18 Aug 2017
Posts: 5008
Location: India
Concentration: Sustainability, Marketing
GPA: 4
WE: Marketing (Energy and Utilities)
Re: If x dollars are invested at 12 percent for one year and y dollars are  [#permalink]

### Show Tags

31 Mar 2019, 10:15
If x dollars are invested at 12 percent for one year and y dollars are invested at 8 percent for one year, the annual income from the 8 percent investment will exceed the annual income from the 12 percent investment by \$64. If \$5,000 is the total amount invested between x and y, how much is invested at 12 percent?

A. \$1,680
B. \$1,997
C. \$3,003
D. \$3,320
E. \$3,500

Source: McGraw-Hill's GMAT

solve as per given info.

0.08(5000 - x) - 0.12x = 64
400 - 0.08x - 0.12x = 64
336 = 0.2x
1680 = x
IMO A
Re: If x dollars are invested at 12 percent for one year and y dollars are   [#permalink] 31 Mar 2019, 10:15
Display posts from previous: Sort by