Last visit was: 17 Jul 2025, 11:41 It is currently 17 Jul 2025, 11:41
Home
GMAT
Messages
Tests
Schools
Events
Rewards
Chat
My Profile
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.
Go to My Error Log Learn more
Close
Request Expert Reply
Confirm Cancel
Back to Forum
Create Topic
User avatar
Bunuel
User avatar
Math Expert
Joined: 02 Sep 2009
Last visit: 17 July 2025
Posts: 102,603
Own Kudos:
742,243
 [16]
Given Kudos: 98,220
Products:
GMAT Club Tests Forum Quiz
Expert
Expert reply
Active GMAT Club Expert! Tag them with @ followed by their username for a faster response.
Posts: 102,603
Kudos: 742,243
 [16]
Peter invests a sum of money and gets back an amount of $815 in 3 year 17 Jun 2019, 01:17
1
Kudos
Add Kudos
15
Bookmarks
Bookmark this Post
00:00
Start Timer
Pause Timer
Resume Timer
Show Answer
Hide
Show
History
C
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!

Difficulty:

35% (medium)

Question Stats:

76% (02:33) correct 24% (03:24) wrong based on 187 sessions

History

Date
Time
Result
Not Attempted Yet
Peter invests a sum of money and gets back an amount of $815 in 3 years. David invests an equal amount of money and gets an amount of $854 in 4 years. If both amounts were invested at the same rate (simple interest). What was the sum of money invested ?

A. 670
B. 664
C. 698
D. 744
E. 700
ShowHide Answer
Official Answer
C
User avatar
Lampard42
User avatar
Joined: 22 Nov 2018
Last visit: 12 Dec 2020
Posts: 427
Own Kudos:
542
 [2]
Given Kudos: 292
Location: India
GMAT 1: 640 Q45 V35
GMAT 2: 740 Q49 V41
GMAT 2: 740 Q49 V41
Posts: 427
Kudos: 542
 [2]
Peter invests a sum of money and gets back an amount of $815 in 3 year 17 Jun 2019, 02:49
2
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Bunuel
Peter invests a sum of money and gets back an amount of $815 in 3 years. David invests an equal amount of money and gets an amount of $854 in 4 years. If both amounts were invested at the same rate (simple interest). What was the sum of money invested ?

A. 670
B. 664
C. 698
D. 744
E. 700

P+3*Interest=815
P+4*Interest=854

So interest = 39. P+3*39=815;P=815-117=698 IMO C
User avatar
CareerGeek
User avatar
Joined: 20 Jul 2017
Last visit: 09 Jul 2025
Posts: 1,295
Own Kudos:
4,082
 [2]
Given Kudos: 162
Location: India
Concentration: Entrepreneurship, Marketing
GMAT 1: 690 Q51 V30
WE:Education (Education)
GMAT 1: 690 Q51 V30
Posts: 1,295
Kudos: 4,082
 [2]
Peter invests a sum of money and gets back an amount of $815 in 3 year 17 Jun 2019, 10:05
2
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Bunuel
Peter invests a sum of money and gets back an amount of $815 in 3 years. David invests an equal amount of money and gets an amount of $854 in 4 years. If both amounts were invested at the same rate (simple interest). What was the sum of money invested ?

A. 670
B. 664
C. 698
D. 744
E. 700


Let the amount invested = p $
Amount of Peter in 3 years = p(1 + 3*r/100) = 815
--> p + 3pr/100 = 815 ...... (1)
Amount of David in 4 years = 0(1 + 4*r/100) = 854
--> p + 4pr/100 = 854 ...... (2)

(2) - (1) gives
--> pr/100 = 854 - 815 = 39

Substitute the value in (1)
--> p + 3*39 = 815
--> p = 815 - 117 = 698 $

IMO Option C
User avatar
exc4libur
User avatar
Joined: 24 Nov 2016
Last visit: 22 Mar 2022
Posts: 1,702
Own Kudos:
1,431
Given Kudos: 607
Location: United States
Posts: 1,702
Kudos: 1,431
Peter invests a sum of money and gets back an amount of $815 in 3 year 07 Aug 2019, 13:43
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Bunuel
Peter invests a sum of money and gets back an amount of $815 in 3 years. David invests an equal amount of money and gets an amount of $854 in 4 years. If both amounts were invested at the same rate (simple interest). What was the sum of money invested ?

A. 670
B. 664
C. 698
D. 744
E. 700

simple interest: amount=principal+(principal)(interest)(years)
given: 815=p+pi3 and 854=p+pi4
equate: pi=39
substitute: 815=p+(39)(3),…p=698

Answer (C).
User avatar
crustaceanlover1
User avatar
Joined: 22 Jan 2025
Last visit: 16 Mar 2025
Posts: 2
Given Kudos: 10
Posts: 2
Kudos: 0
Peter invests a sum of money and gets back an amount of $815 in 3 year 08 Feb 2025, 19:18
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Is this really misleading to anyone? The wording "gets back an amount" is vague enough that it could refer to only the interest portion. Am I missing something that would denote that the 815 is the principal + interest payments?
User avatar
Krunaal
User avatar
PS Forum Moderator
Joined: 15 Feb 2021
Last visit: 17 Jul 2025
Posts: 697
Own Kudos:
730
 [2]
Given Kudos: 243
Status:Under the Square and Compass
Location: India
WE:Marketing (Internet and New Media)
Products:
My Reviews GMAT Club Tests Forum Quiz
Posts: 697
Kudos: 730
 [2]
Peter invests a sum of money and gets back an amount of $815 in 3 year 09 Feb 2025, 03:12
2
Kudos
Add Kudos
Bookmarks
Bookmark this Post
crustaceanlover1
Is this really misleading to anyone? The wording "gets back an amount" is vague enough that it could refer to only the interest portion. Am I missing something that would denote that the 815 is the principal + interest payments?
Ideally, "gets back an amount" is the final amount someone gets back post their investment period. You can also observe that the difference in the amount with same Principal and Interest for 1 year is just $39, and the amount that they get back in 3 years is $815, so it has to be with principle, since 39*3 is just $117 i.e. interest.
Moderators:
Bunuel
Math Expert
102603 posts
Krunaal
PS Forum Moderator
697 posts