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Three business people 03 Aug 2010, 04:50
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45% (medium)

Question Stats:

100% (01:58) correct 0% (00:00) wrong based on 7 sessions

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Three business people who wish to invest in a new company. Each person is willing to pay one third of the total investment. . After careful calculation, they realize that each of them would pay $ 7200 less if they could find two more equal investors. How much is the total investment in the new business.
a) $ 64,000
b) $ 54,000
c) $ 21,000
d) $ 5,400
e) $3,600



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B
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jakolik
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Three business people 03 Aug 2010, 05:25
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Hi,

Initially each invest in x. Hence total investment is 3x.
Total investment is also 5(x-7200).

3x = 5(x-7200)
x= 5*7200/2 = 18000
3x = 54000 and the answer is B.

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Three business people 04 Aug 2010, 04:37
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x - total investment
3*x/3 = 5*(x/3-7200)

x=54000
(B)
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Three business people 04 Aug 2010, 10:44
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Three business people who wish to invest in a new company. Each person is willing to pay one third of the total investment. . After careful calculation, they realize that each of them would pay $ 7200 less if they could find two more equal investors. How much is the total investment in the new business.
a) $ 64,000
b) $ 54,000
c) $ 21,000
d) $ 5,400
e) $3,600
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Let us assume that the total investment is X. So initially each investor is willing to pay

If they find two more partners, the new level of investment becomes \(\frac{X}{5}\)

We are told that:

\(\frac{X}{3}\) = \(\frac{X}{5} + 7200\)

\(\frac{X}{3} -\frac{X}{5} = 7200\)

\(\frac{2X}{15} = 7200\)

\(X = \frac{7200*15}{2} = 54000\)

Hence the answer is B.
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Three business people 08 Aug 2010, 19:48
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Answer: B.

\(x/3 - x/5\) = 7200
\(2x/15\) = 7200

x = 54000



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