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# Two hedge funds reported their performance for the last fiscal year.

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Intern
Joined: 19 Oct 2014
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Location: India
Concentration: Finance, Entrepreneurship
GMAT 1: 600 Q48 V25
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WE: Operations (Manufacturing)
Two hedge funds reported their performance for the last fiscal year.  [#permalink]

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Updated on: 15 May 2016, 21:46
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55% (hard)

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61% (01:39) correct 39% (01:40) wrong based on 146 sessions

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Two hedge funds reported their performance for the last fiscal year. Hedge fund A earned 5% and hedge fund B earned 8% last year. How many more dollars did hedge fund B generate than did hedge fund A?

(1) Hedge fund B managed $2M more in assets under management than did hedge fund A. (2)The total amount of money earned by the two hedge funds last year was$1.2M

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Originally posted by gocoder on 15 May 2016, 19:52.
Last edited by Bunuel on 15 May 2016, 21:46, edited 1 time in total.
Renamed the topic and edited the question.
Math Expert
Joined: 02 Aug 2009
Posts: 6978
Two hedge funds reported their performance for the last fiscal year.  [#permalink]

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15 May 2016, 20:28
gocoder wrote:
Two hedge funds reported their performance for the last fiscal year. Hedge fund A earned 5% and hedge fund B earned 8% last year. How many more dollars did hedge fund B generate than did hedge fund A?

(1) Hedge fund B managed $2M more in assets under management than did hedge fund A. (2)The total amount of money earned by the two hedge funds last year was$1.2M

Hi,
we require to know the individual amount in each hedge fund
Let the amount be A and B..
(1) Hedge fund B managed $2M more in assets under management than did hedge fund A. B=A+2 hedge A earned = $$\frac{5}{100} * (A)..$$ hedge B earned = $$\frac{8}{100} * (A+2)$$.. difference = $$\frac{8}{100}* (A+2) - \frac{5}{100} * A = \frac{3A}{100} + \frac{16}{100}$$ we just know the difference, but we require the numeric value .. Insuff (2)The total amount of money earned by the two hedge funds last year was$1.2M.
this just tells us -
$$\frac{8}{100} *B + \frac{5}{100} A$$ = 1.2..
Insuff

Combined
we have two variables and two equations..
$$\frac{8}{100} *B + \frac{5}{100} A$$ = 1.2..
B=A+2
Suff

C
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Re: Two hedge funds reported their performance for the last fiscal year.  [#permalink]

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01 Nov 2017, 07:43
chetan2u wrote:

(2)The total amount of money earned by the two hedge funds last year was $1.2M. this just tells us - |8/100 *B - 5/100 A| = 1.2.. Insuff C I got this question, but i am a little confused in s(2) Isn't s(2) says .08B + .05A =$1.2M ?

Just want to clarify

Thanks
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Re: Two hedge funds reported their performance for the last fiscal year.  [#permalink]

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01 Nov 2017, 20:51
chetan2u wrote:
gocoder wrote:
Two hedge funds reported their performance for the last fiscal year. Hedge fund A earned 5% and hedge fund B earned 8% last year. How many more dollars did hedge fund B generate than did hedge fund A?

(1) Hedge fund B managed $2M more in assets under management than did hedge fund A. (2)The total amount of money earned by the two hedge funds last year was$1.2M

(A) Statement 1 alone is sufficient but statement 2 alone is not sufficient to answer the question asked.

(B) Statement 2 alone is sufficient but statement 1 alone is not sufficient to answer the question asked.

(C) Both statements 1 and 2 together are sufficient to answer the question but neither statement is sufficient alone.

(D) Each statement alone is sufficient to answer the question.

Hi,
we require to know the individual amount in each hedge fund
Let the amount be A and B..
(1) Hedge fund B managed $2M more in assets under management than did hedge fund A. B=A+2 hedge A earned = $$\frac{5}{100} * (A)..$$ hedge B earned = $$\frac{8}{100} * (A+2)$$.. difference = $$\frac{8}{100}* (A+2) - \frac{5}{100} * A = \frac{3A}{100} + \frac{16}{100}$$ we just know the difference, but we require the numeric value .. Insuff (2)The total amount of money earned by the two hedge funds last year was$1.2M.
this just tells us -
|8/100 *B - 5/100 A| = 1.2..
Insuff

Combined
we have two variables and two equations..
Suff

C

OPtion A: Hedge fund B managed $2M more in assets under management than did hedge fund A. This is just one area where Hedge fund B managed$2M more in assets than hedge fund A. We dont know that in total hedge fund B managed $2M more than hedge fund A. No other areas are specified. Can you clarify? Director Joined: 27 May 2012 Posts: 585 Two hedge funds reported their performance for the last fiscal year. [#permalink] ### Show Tags 21 Nov 2017, 05:27 kartzcool wrote: chetan2u wrote: gocoder wrote: Two hedge funds reported their performance for the last fiscal year. Hedge fund A earned 5% and hedge fund B earned 8% last year. How many more dollars did hedge fund B generate than did hedge fund A? (1) Hedge fund B managed$2M more in assets under management than did hedge fund A.

(2)The total amount of money earned by the two hedge funds last year was $1.2M (A) Statement 1 alone is sufficient but statement 2 alone is not sufficient to answer the question asked. (B) Statement 2 alone is sufficient but statement 1 alone is not sufficient to answer the question asked. (C) Both statements 1 and 2 together are sufficient to answer the question but neither statement is sufficient alone. (D) Each statement alone is sufficient to answer the question. (E) Statements 1 and 2 are not sufficient to answer the question asked and additional data is needed to answer the statements. Hi, we require to know the individual amount in each hedge fund Let the amount be A and B.. (1) Hedge fund B managed$2M more in assets under management than did hedge fund A.
B=A+2
hedge A earned = $$\frac{5}{100} * (A)..$$
hedge B earned = $$\frac{8}{100} * (A+2)$$..
difference = $$\frac{8}{100}* (A+2) - \frac{5}{100} * A = \frac{3A}{100} + \frac{16}{100}$$
we just know the difference, but we require the numeric value ..
Insuff

(2)The total amount of money earned by the two hedge funds last year was $1.2M. this just tells us - |8/100 *B - 5/100 A| = 1.2.. Insuff Combined we have two variables and two equations.. Suff C OPtion A: Hedge fund B managed$2M more in assets under management than did hedge fund A.

This is just one area where Hedge fund B managed $2M more in assets than hedge fund A. We dont know that in total hedge fund B managed$2M more than hedge fund A.
No other areas are specified.

Can you clarify?

Correct , I have the same doubt? This is just one area , how can we assume that hedge fund A had overall 2M more in profits than hedge fund B.
Thank you.
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Re: Two hedge funds reported their performance for the last fiscal year.  [#permalink]

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21 Nov 2017, 06:54
1
vinnik, it was a typo corrected..
stne and kartzcool,
we cannot say what these hedge funds are made of unless you are part of it or woud have read it..
In quant, therefore, we would go straight with the words as we are not being tested
Otherwise under management means the funds wit them, so its ok as it is

and maybe in CR, we can use this as a flaw in reasoning or weakening or assumption etc
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1) Absolute modulus : http://gmatclub.com/forum/absolute-modulus-a-better-understanding-210849.html#p1622372
2)Combination of similar and dissimilar things : http://gmatclub.com/forum/topic215915.html
3) effects of arithmetic operations : https://gmatclub.com/forum/effects-of-arithmetic-operations-on-fractions-269413.html

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Re: Two hedge funds reported their performance for the last fiscal year. &nbs [#permalink] 21 Nov 2017, 06:54
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