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Ted and Barney work for the same company but earn different incomes an

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Ted and Barney work for the same company but earn different incomes an  [#permalink]

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GMATbuster's Weekly Quant Quiz#10 Ques #7


For Questions from earlier quizzes: Click Here


Ted and Barney work for the same company but earn different incomes and have different expenditures. Who saves a greater portion of their income?

(1) The sum of Ted’s income and Barney’s expenditure is greater than the sum of Barney’s income and Ted’s expenditure.
(2) Ted’s income is 20% lesser than Barney’s income.

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Re: Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 24 Nov 2018, 10:27
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1
Let T be Ted, B be Barney, I be Income and E be Expenditure, S be Savings. So, S = I - E, Also, TI = Ted's Income, BI = Barney's Income, TE = Ted's Expenditure, BE = Barney's Expenditure.

(1) Given: TI + BE > BI + TE, rearranging we get:

TI - TE > BI - BE
Here: TI - TE is Ted's savings, BI - BE = Barney's savings

Hence, Ted's Savings > Barney's Savings. Hence Sufficient.

(2) TI = 0.8BI
No Information on Expenditures, hence Insufficient.

Hence Option A
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Re: Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 24 Nov 2018, 10:32
C.
let teds income = TI
Teds expenditure =TE
similarly for barney = BI &BE

now it is given
TI+BE > TE+BI.
this can be true if teds income and expenditure is proportionally higher than barneys incomr and expenditure.
Or just his income is more or barneys expenditure is more.
So we cannot be sure with just this statement.


Acc to stat 2
Teds income is 20%lesser than barneys,so to compensate this his expenditure should be greater.
So both stat together are sufcient

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Re: Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 26 Nov 2018, 06:40
nkin wrote:
Let T be Ted, B be Barney, I be Income and E be Expenditure, S be Savings. So, S = I - E, Also, TI = Ted's Income, BI = Barney's Income, TE = Ted's Expenditure, BE = Barney's Expenditure.

(1) Given: TI + BE > BI + TE, rearranging we get:

TI - TE > BI - BE
Here: TI - TE is Ted's savings, BI - BE = Barney's savings

Hence, Ted's Savings > Barney's Savings. Hence Sufficient.

(2) TI = 0.8BI
No Information on Expenditures, hence Insufficient.

Hence Option A


gmatbusters, Can you please help me with this one? Is the logic I mentioned incorrect for statement (1) ?
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Re: Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 26 Nov 2018, 06:45
1
Hi nkin

Question is
Who saves a greater portion of their income?

Question doesn't ask for absolute value of saving but greater proportion ( ratio) of savings.

We need to compare (Ted saving/Ted income) and (Barney saving/Barney ncome)

So we do need the ratio of income, hope it is clear now.

In case of any doubt, Do not hesitate to tag me again.

nkin wrote:
nkin wrote:
Let T be Ted, B be Barney, I be Income and E be Expenditure, S be Savings. So, S = I - E, Also, TI = Ted's Income, BI = Barney's Income, TE = Ted's Expenditure, BE = Barney's Expenditure.

(1) Given: TI + BE > BI + TE, rearranging we get:

TI - TE > BI - BE
Here: TI - TE is Ted's savings, BI - BE = Barney's savings

Hence, Ted's Savings > Barney's Savings. Hence Sufficient.

(2) TI = 0.8BI
No Information on Expenditures, hence Insufficient.

Hence Option A


gmatbusters, Can you please help me with this one? Is the logic I mentioned incorrect for statement (1) ?

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Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 07 Dec 2018, 11:25
gmatbusters wrote:

GMATbuster's Weekly Quant Quiz#10 Ques #7


For Questions from earlier quizzes: Click Here


Ted and Barney work for the same company but earn different incomes and have different expenditures. Who saves a greater portion of their income?
(1) The sum of Ted’s income and Barney’s expenditure is greater than the sum of Barney’s income and Ted’s expenditure.
(2) Ted’s income is 20% lesser than Barney’s income.


PFA my solution for the same,

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Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 09 Dec 2018, 00:12
Can you please post the official answer explanation here. gmatbusters
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Re: Ted and Barney work for the same company but earn different incomes an  [#permalink]

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New post 09 Dec 2018, 00:32

Official Explanation:



Let T be Ted, B be Barney, I be Income and E be Expenditure, S be Savings. So, S = I - E, Also, TI = Ted's Income, BI = Barney's Income, TE = Ted's Expenditure, BE = Barney's Expenditure.

(1) Given: TI + BE > BI + TE, rearranging we get:

TI - TE > BI - BE
Here: TI - TE is Ted's savings, BI - BE = Barney's savings

Hence, Ted's Savings > Barney's Savings.

But Question is whether "Who saves a greater portion of their income?"

Hence we need to compare Ted's Savings/Ted's Income and Barney's Savings/Barney's Income
NOT Sufficient.


(2) TI = 0.8BI
No Information on Expenditures, hence NOT Sufficient.

Combining Statement 1 & 2, we get
Ted's Savings/Ted's Income > Barney's Savings/Barney's Income
Hence, Ted saves a greater portion of their income?

SUFFICIENT


Hence Option C
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Re: Ted and Barney work for the same company but earn different incomes an &nbs [#permalink] 09 Dec 2018, 00:32
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Ted and Barney work for the same company but earn different incomes an

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