Events & Promotions
|
|
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
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Nov 2007:30 AM PST
-08:30 AM PST
Learn what truly sets the UC Riverside MBA apart and how it helps in your professional growth
Nov 2001:30 PM EST
-02:30 PM IST
Learn how Kamakshi achieved a GMAT 675 with an impressive 96th %ile in Data Insights. Discover the unique methods and exam strategies that helped her excel in DI along with other sections for a balanced and high score.
Nov 1912:30 PM EST
-01:30 PM EST
Learn how Keshav, a Chartered Accountant, scored an impressive 705 on GMAT in just 30 days with GMATWhiz's expert guidance. In this video, he shares preparation tips and strategies that worked for him, including the mock, time management, and more
Nov 2211:00 AM IST
-01:00 PM IST
Do RC/MSR passages scare you? e-GMAT is conducting a masterclass to help you learn – Learn effective reading strategies Tackle difficult RC & MSR with confidence Excel in timed test environment- Nov 23
11:00 AM IST
-01:00 PM IST
Attend this free GMAT Algebra Webinar and learn how to master the most challenging Inequalities and Absolute Value problems with ease. 
Nov 2407:00 PM PST
-08:00 PM PST
Full-length FE mock with insightful analytics, weakness diagnosis, and video explanations!
Nov 2510:00 AM EST
-11:00 AM EST
Prefer video-based learning? The Target Test Prep OnDemand course is a one-of-a-kind video masterclass featuring 400 hours of lecture-style teaching by Scott Woodbury-Stewart, founder of Target Test Prep and one of the most accomplished GMAT instructors.
14 Aug 2020, 02:43
Kudos
Bookmarks
A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
95%
(hard)
Question Stats:
36% (02:21) correct
64%
(02:04)
wrong
based on 126
sessions
History
Date
Time
Result
Not Attempted Yet
Manfred plans to invest a certain amount of money in stocks and a certain amount in bonds. If he plans to invest a total of $100,000 in stocks and bonds, how much money does he plan to invest on stocks?
(1) If Manfred were to change his plans such that 75% of the planned investment in stocks is diverted to bonds and 75% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
(2) If Manfred were to change his plans such that 50% of the planned investment in stocks is diverted to bonds and 50% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
Are You Up For the Challenge: 700 Level Questions
(1) If Manfred were to change his plans such that 75% of the planned investment in stocks is diverted to bonds and 75% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
(2) If Manfred were to change his plans such that 50% of the planned investment in stocks is diverted to bonds and 50% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
Are You Up For the Challenge: 700 Level Questions
Updated on: 14 Aug 2020, 07:00
Originally posted by RaghavKhanna on 14 Aug 2020, 03:03.
Last edited by RaghavKhanna on 14 Aug 2020, 07:00, edited 1 time in total.
Last edited by RaghavKhanna on 14 Aug 2020, 07:00, edited 1 time in total.
Kudos
Bookmarks
Total amount invested = $100,000
Stocks = S
Bonds = 100,000 - S
Statement 1:
Amount of stocks diverted to bonds = 0.75S
Amount of bonds diverted to stocks = (100,000 - S)*0.75 = 75000 - 0.75S
Amount of stocks = 0.25S + 75000 - 0.75S
And,
Amount of bonds = 25000 - 0.25S + 0.75S
=> 75000 - 0.5S = 25000 + 0.5S
=> 50000 = S
=> S = 50,000
Statement 1 is sufficient
Statement 2:
Amount of stocks diverted to bonds = 0.5S
Amount of bonds diverted to stocks = (100,000 - S)*0.5 = 50000 - 0.5S
Amount of stocks = 0.5S + 50000 - 0.5S
And,
Amount of bonds = 50000 - 0.5S + 0.5S
=> 50000 = 50000
Can't find S from this.
Statement 2 is insufficient
Answer: A
Stocks = S
Bonds = 100,000 - S
Statement 1:
Amount of stocks diverted to bonds = 0.75S
Amount of bonds diverted to stocks = (100,000 - S)*0.75 = 75000 - 0.75S
Amount of stocks = 0.25S + 75000 - 0.75S
And,
Amount of bonds = 25000 - 0.25S + 0.75S
=> 75000 - 0.5S = 25000 + 0.5S
=> 50000 = S
=> S = 50,000
Statement 1 is sufficient
Statement 2:
Amount of stocks diverted to bonds = 0.5S
Amount of bonds diverted to stocks = (100,000 - S)*0.5 = 50000 - 0.5S
Amount of stocks = 0.5S + 50000 - 0.5S
And,
Amount of bonds = 50000 - 0.5S + 0.5S
=> 50000 = 50000
Can't find S from this.
Statement 2 is insufficient
Answer: A
KaramveerBakshi
Joined: 18 Feb 2020
Last visit: 09 Sep 2021
Posts: 288
Given Kudos: 30
Location: India
Schools: HEC Montreal Jindal '23 (S) ISB'22
GMAT 1: 660 Q50 V29
GPA: 3
14 Aug 2020, 06:20
Kudos
Bookmarks
Total amount = 100,000.
Let amount in stocks = X
Let amount in bonds = Y
X+Y = 100,000 ---- (A)
Statements:
(1) If Manfred were to change his plans such that 75% of the planned investment in stocks is diverted to bonds and 75% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
The equation would look like:
X/4+3Y/4 = Y/4 + 3X/4
X = Y
Therefore, X = Y = 50,000 ( From (A))
Sufficient
(2) If Manfred were to change his plans such that 50% of the planned investment in stocks is diverted to bonds and 50% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
The equation would look like:
X/2 + Y/2 = X/2 + Y/2
This equation doesn't give us anything.
Insufficient.
Hence, the answer is (A).
Let amount in stocks = X
Let amount in bonds = Y
X+Y = 100,000 ---- (A)
Statements:
(1) If Manfred were to change his plans such that 75% of the planned investment in stocks is diverted to bonds and 75% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
The equation would look like:
X/4+3Y/4 = Y/4 + 3X/4
X = Y
Therefore, X = Y = 50,000 ( From (A))
Sufficient
(2) If Manfred were to change his plans such that 50% of the planned investment in stocks is diverted to bonds and 50% of the planned investment in bonds is diverted to stocks, then his investment in stocks would be equal to his investment in bonds.
The equation would look like:
X/2 + Y/2 = X/2 + Y/2
This equation doesn't give us anything.
Insufficient.
Hence, the answer is (A).
