Three business people : GMAT Problem Solving (PS)
Check GMAT Club Decision Tracker for the Latest School Decision Releases https://gmatclub.com/AppTrack

 It is currently 28 Feb 2017, 03:27

### 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

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

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

Author Message
TAGS:

### Hide Tags

Intern
Joined: 20 Oct 2009
Posts: 13
Followers: 0

Kudos [?]: 0 [0], given: 0

### Show Tags

03 Aug 2010, 03:50
00:00

Difficulty:

25% (medium)

Question Stats:

100% (02:23) correct 0% (00:00) wrong based on 9 sessions

### HideShow timer Statistics

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
[Reveal] Spoiler: OA
Manager
Joined: 16 Apr 2010
Posts: 221
Followers: 4

Kudos [?]: 121 [0], given: 12

### Show Tags

03 Aug 2010, 04:25
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.

regards,
Jack
Manager
Joined: 03 Jun 2010
Posts: 182
Location: United States (MI)
Concentration: Marketing, General Management
Followers: 6

Kudos [?]: 61 [0], given: 40

### Show Tags

04 Aug 2010, 03:37
x - total investment
3*x/3 = 5*(x/3-7200)

x=54000
(B)
Ms. Big Fat Panda
Status: Three Down.
Joined: 09 Jun 2010
Posts: 1922
Concentration: General Management, Nonprofit
Followers: 452

Kudos [?]: 2003 [0], given: 210

### Show Tags

04 Aug 2010, 09:44
Other wrote:
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

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:

$$\frac{X}{3}$$ = $$\frac{X}{5} + 7200$$

$$\frac{X}{3} -\frac{X}{5} = 7200$$

$$\frac{2X}{15} = 7200$$

$$X = \frac{7200*15}{2} = 54000$$

Senior Manager
Status: Time to step up the tempo
Joined: 24 Jun 2010
Posts: 408
Location: Milky way
Schools: ISB, Tepper - CMU, Chicago Booth, LSB
Followers: 8

Kudos [?]: 199 [0], given: 50

### Show Tags

08 Aug 2010, 18:48

$$x/3 - x/5$$ = 7200
$$2x/15$$ = 7200

x = 54000
_________________

Support GMAT Club by putting a GMAT Club badge on your blog

Similar topics Replies Last post
Similar
Topics:
3 Three business people wish to invest in a new company. Each person is 3 17 Jan 2016, 11:03
A comittee of three people is to be chosen from four married 1 09 Apr 2012, 12:55
12 A committee of three people is to be chosen from 4 married 18 18 Nov 2007, 19:15
7 A committee of three people is to be chosen from four 9 27 Sep 2009, 23:41
29 A committee of three people is to be chosen from four marrie 8 13 Nov 2007, 06:31
Display posts from previous: Sort by