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Nanobotstv
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Last year John earned m dollars at company X and was promised an n-per Updated on: 20 Feb 2026, 09:42
Originally posted by Nanobotstv on 19 Oct 2016, 23:07.
Last edited by Bunuel on 20 Feb 2026, 09:42, edited 1 time in total.
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E
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60% (02:30) correct 40% (02:36) wrong based on 350 sessions

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Last year John earned m dollars at company X and was promised an n-percent raise for this year. If John is paid the promised amount and a $10,000 bonus at the end of this year, by what percent has his total salary(including his bonus) increased this year over last in terms of n and m?

A. (mn + 10000)/m %

B. (n + 10000)/m %

C. (mn + 100,000)/100m %

D. (mn + 1,000,000)/100m %

E. (mn + 1,000,000)/m %
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Bunuel
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Last year John earned m dollars at company X and was promised an n-per 20 Oct 2016, 00:37
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alanforde800Maximus
Last year John earned m dollars at company X and was promised an n-percent raise for this year. If John is paid the promised amount and a $10,000 bonus at the end of this year, by what percent has his total salary(including his bonus) increased this year over last in terms of n and m?

a) (mn + 10000)/m %
b) (n + 10000)/m %
c) (mn + 100,000)/100m %
d) (mn + 1,000,000)/100m %
e) (mn + 1,000,000)/m %

Please assist with above problem.
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Last year John earned m dollars;


Increase of the salary this yer = \(m*\frac{n}{100} + 10,000 = \frac{(mn + 1,000,000)}{100}\) dollars


Increase % = \(\frac{(Increase)}{(Last \ year \ salary)}*100 = \frac{\frac{(mn + 1,000,000)}{100} }{m}*100=\frac{(mn + 1,000,000)}{m}\).

Answer: E.
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Last year John earned m dollars at company X and was promised an n-per 20 Oct 2016, 01:44
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Old Salary = m dollars

New salary = M (1 + n/100) + 10,000

Net increase = m*n/100 + 10,000

Percentage change = (mn/100 + 10,000)*100/m

= (mn + 1,000,000)/m%

HTH
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Last year John earned m dollars at company X and was promised an n-per 11 Mar 2020, 03:20
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Here for the particular question, the base salary = last year salary is going to be m.
Hence, the current year increase in the base salary is going to be m*n% = \(\frac{mn}{100}\)
Also, there has been an bonus payment of $10,000 apart from the promised increase of n%.
Hence, the total increase in the payments = \(\frac{mn}{100}\) +10,000
Percentage computation of the same is done as below : Percentage Increase = \(\frac{\text{Increase In Value}}{\text{Previous Value}}\)

= \(\frac{(\frac{mn}{100})+10,000}{m}\)
Hence, Using the same concept = Here the percentage value = \(\frac{(\frac{mn}{100})+10,000}{m}\) * 100 => \(\frac{mn+1,000,000}{100m}\)*100
= \(\frac{mn+1,000,000}{m}\) Percent.

Hence, the answer is E.

The above is a long theoretical approach. The below mentioned approach can be used to eliminate options.

Here, the mn/100, if going to be added to 10,000 , will mean 1,000,000 is there in the numerator. Hence, we can eliminate a,b,c options right away.

The next method here will be - 100 is there in the denominator of the entire calculation and we multiply 100 to obtain the percentage value. Hence, we can cancel both of them. That way, we can also eliminate d and straight away choose C as a correct option.

K S Raksha
GMAT Tutor at Wizako GMAT Classes & Online Courses
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Last year John earned m dollars at company X and was promised an n-per 20 Feb 2026, 09:39
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Last year earned $ m
Current year m+m×n/100+10,000
Increased salary m-m+m×n/100+10,000
=mn/100 +10,000/m
Profit=(mn/100+10,000/m)/100m ×100%
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