Last visit was: 23 Apr 2026, 23:26 It is currently 23 Apr 2026, 23:26
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.
Close
Request Expert Reply
Confirm Cancel
User avatar
AnkitK
Joined: 11 Feb 2011
Last visit: 01 Dec 2012
Posts: 82
Own Kudos:
1,385
 [5]
Given Kudos: 21
Posts: 82
Kudos: 1,385
 [5]
Kudos
Add Kudos
5
Bookmarks
Bookmark this Post
User avatar
sudhir18n
User avatar
Current Student
Joined: 26 May 2005
Last visit: 13 Feb 2013
Posts: 351
Own Kudos:
Given Kudos: 13
Posts: 351
Kudos: 616
Kudos
Add Kudos
Bookmarks
Bookmark this Post
User avatar
amit2k9
Joined: 08 May 2009
Last visit: 18 Jun 2017
Posts: 535
Own Kudos:
Given Kudos: 10
Status:There is always something new !!
Affiliations: PMI,QAI Global,eXampleCG
Posts: 535
Kudos: 646
Kudos
Add Kudos
Bookmarks
Bookmark this Post
User avatar
Madhavi1990
Joined: 15 Jan 2017
Last visit: 15 Jul 2021
Posts: 250
Own Kudos:
Given Kudos: 931
Posts: 250
Kudos: 93
Kudos
Add Kudos
Bookmarks
Bookmark this Post
After one persons rent is increased by 20% the new mean is $850.What was original rent of friend whose rent is increased?

Doesn't the question ask for original rent?New rent after increase of 20% is 1000.

Would like some clarity, thank you
User avatar
Bunuel
User avatar
Math Expert
Joined: 02 Sep 2009
Last visit: 23 Apr 2026
Posts: 109,802
Own Kudos:
810,897
 [1]
Given Kudos: 105,868
Products:
Expert
Expert reply
Active GMAT Club Expert! Tag them with @ followed by their username for a faster response.
Posts: 109,802
Kudos: 810,897
 [1]
1
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Madhavi1990
After one persons rent is increased by 20% the new mean is $850.What was original rent of friend whose rent is increased?

Doesn't the question ask for original rent?New rent after increase of 20% is 1000.

Would like some clarity, thank you

Average of money that group of 4 friends pay for rent each month is $800. After one persons rent is increased by 20% the new mean is $850. What was original rent of friend whose rent is increased?

A. 800
B. 900
C. 1000
D. 1100
E. 1200

Average of money that group of 4 friends pay for rent each month is $800 --> the total amount paid by 4 friends = 4*800 = 3200.

After one persons rent is increased by 20% the new mean is $850 --> NEW total = 4*850 = 3400.

The difference = 3400 - 3200 = 200.

This amount is due to one persons rent increase by 20%, so 200 is 20% of that person's rent x*0.2 = 200 --> x = 1000 (original rent of that person was $1000 and after the increase of 20% it became $1200).

Answer: C.

Hope it's clear.
User avatar
btsaami
Joined: 03 Feb 2023
Last visit: 06 Apr 2026
Posts: 128
Own Kudos:
Given Kudos: 580
Posts: 128
Kudos: 37
Kudos
Add Kudos
Bookmarks
Bookmark this Post
1. Since 20% increase in rent of one person increases the average by 50 i.e. 850-800, there must have been an increase of 200 in sum of the rent they pay. (50*4)

20% of x=200, x=1000.

2. Assuming each of them pay equal rent at start i.e. 800, 800, 800, 800. (Balancing)
We can determine that one person is paying more than 3 remaining people as avg value increases with 20% increase. To bring the average to 850 at this person is pay extra 200 (+50 increase for all 4 people-> same as above balancing).
Therefore, 800+200=1000

Hence, C­
Moderators:
Math Expert
109802 posts
Tuck School Moderator
853 posts