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

It is currently 07 Dec 2019, 10:28

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

In each of the last five years, Company K donated p percent of its

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

Hide Tags

Find Similar Topics 
Math Expert
User avatar
V
Joined: 02 Sep 2009
Posts: 59588
In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 16 Jun 2016, 03:49
4
15
00:00
A
B
C
D
E

Difficulty:

  15% (low)

Question Stats:

79% (01:11) correct 21% (01:08) wrong based on 1154 sessions

HideShow timer Statistics

In each of the last five years, Company K donated p percent of its annual profits to a certain scholarship fund. Did Company K donate more than $10,000 to the scholarship fund last year?

(1) Two years ago, Company K had annual profits of $3 million and donated $15,000 to the scholarship fund
(2) Last year, Company K had annual profits of $2.5 million

_________________
Most Helpful Expert Reply
Target Test Prep Representative
User avatar
G
Status: Head GMAT Instructor
Affiliations: Target Test Prep
Joined: 04 Mar 2011
Posts: 2809
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 06 Dec 2016, 08:29
5
1
Bunuel wrote:
In each of the last five years, Company K donated p percent of its annual profits to a certain scholarship fund. Did Company K donate more than $10,000 to the scholarship fund last year?

(1) Two years ago, Company K had annual profits of $3 million and donated $15,000 to the scholarship fund
(2) Last year, Company K had annual profits of $2.5 million


We are given that in each of the last five years, Company K donated p percent of its annual profits to a certain scholarship fund. We need to determine whether company K donated more than 10,000 dollars to the scholarship fund last year.

Statement One Alone:

Two years ago, Company K had annual profits of $3 million and donated $15,000 to the scholarship fund.

Using the information in statement one, we can determine a value for p.

3,000,000(p/100) = 15,000

3,000,000p = 1,500,000

p = 0.5

Thus, in each of the last 5 years, company K donated 0.5% of its profits. However, since we don’t know the profit made last year, we can’t answer the question. Statement one alone is not sufficient. We can eliminate answer choices A and D.

Statement Two Alone:

Last year, Company K had annual profits of $2.5 million.

Since we do not have a value for p, statement two alone is not sufficient to answer the question. We can eliminate answer choice B.

Statements One and Two Together:

Using the information in statements one and two, we can determine that last year company K donated 0.5 percent of their 2.5 million dollar profit, or $12,500, which is more than $10,000. The two statements together are sufficient.

Answer: C
_________________

Jeffrey Miller

Head of GMAT Instruction

Jeff@TargetTestPrep.com
TTP - Target Test Prep Logo
122 Reviews

5-star rated online GMAT quant
self study course

See why Target Test Prep is the top rated GMAT quant course on GMAT Club. Read Our Reviews

If you find one of my posts helpful, please take a moment to click on the "Kudos" button.

General Discussion
Manager
Manager
avatar
Joined: 18 Sep 2014
Posts: 223
Reviews Badge
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 16 Jun 2016, 06:21
1
In each of the last five years, Company K donated p percent of its annual profits to a certain scholarship fund. Did Company K donate more than $10,000 to the scholarship fund last year?

(1) Two years ago, Company K had annual profits of $3 million and donated $15,000 to the scholarship fund
(2) Last year, Company K had annual profits of $2.5 million

From statement 1, we can find the percentage going into funds as the question stem says in each of the last five years it has donated the same percentage.
From statement 2 we know the annual profits last year. Hence C is the answer.
Intern
Intern
avatar
B
Joined: 30 Jun 2014
Posts: 37
GPA: 3.6
WE: Operations (Energy and Utilities)
GMAT ToolKit User
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 16 Jun 2016, 06:24
donation= (p* annual profit)/100.

so was donation > 10000 last year.
for this we need last to last year's annual profit and value of p.
1) donation is 15000 and annual profit is also given for 2 years ago. we can calculate p from here but nothing can be said about last year donation. so not sufficient.
2) last year's profit is given but value of p is unknown. so not sufficient.

1)+2) we have both the values available. so sufficient.
answer C.
experts, am i on the right track.
Intern
Intern
User avatar
B
Status: Don't watch the clock,Do what it does, Keep Going.
Joined: 10 Jan 2017
Posts: 37
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 18 Sep 2017, 02:34
with the help of 1 you can find out the value of p
P/100 * 3*1000000 = 15000 so value of P=0.5

2. put the value of P from 1 in 2 to get the result.
D is the answer
Manager
Manager
avatar
B
Joined: 02 Jan 2017
Posts: 67
Location: Pakistan
Concentration: Finance, Technology
GMAT 1: 650 Q47 V34
GPA: 3.41
WE: Business Development (Accounting)
Reviews Badge
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 12 Dec 2017, 23:54
1
We do not need to solve, focusing on the relation of what is being asked in question stem will get us to right answer that is C.

Statment 1- Relationship of Total profit & and funds donated give us [ p ]
Statement 2- Give us profits from last year.

We are asked this. is p*2.5 million > 10000 $.
We get p from Stat 1 & 2.5 mil fro Statment 2 . Hence C
Retired Moderator
avatar
P
Joined: 22 Aug 2013
Posts: 1414
Location: India
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 13 Dec 2017, 23:01
adil123 wrote:
with the help of 1 you can find out the value of p
P/100 * 3*1000000 = 15000 so value of P=0.5

2. put the value of P from 1 in 2 to get the result.
D is the answer


Hi Adil123

You have solved correctly, both statements are required to answer the question. However, in this case we have to mark the answer as C, as per the rules.
Intern
Intern
avatar
Joined: 03 Jul 2017
Posts: 1
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 13 Jun 2018, 18:34
1
Why do we assume the P is a constant rate? P could have been .0005%.
Retired Moderator
avatar
P
Joined: 22 Aug 2013
Posts: 1414
Location: India
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 13 Jun 2018, 20:54
2
kennycpacgma wrote:
Why do we assume the P is a constant rate? P could have been .0005%.


Hello

Thats because when question says 'its p percent', then it has to be a constant p. If the rate was changing every year, then it would have been mentioned in the question with something like, "the rate is variable"..
Non-Human User
User avatar
Joined: 09 Sep 2013
Posts: 13723
Re: In each of the last five years, Company K donated p percent of its  [#permalink]

Show Tags

New post 26 Jun 2019, 03:17
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.
_________________
GMAT Club Bot
Re: In each of the last five years, Company K donated p percent of its   [#permalink] 26 Jun 2019, 03:17
Display posts from previous: Sort by

In each of the last five years, Company K donated p percent of its

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





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