In a certain year, the income of an individual from her investments am

Question

In a certain year, the income of an individual from her investments amounted to 45 percent of her total income. If municipal bonds accounted for 2/3 of her investment income, then the ratio of income derived from municipal bonds to total noninvestment income was

(A) 2/3
(B) 6/11
(C) 3/10
(D) 3/11
(E) 3/20

(A) 2/3
(B) 6/11
(C) 3/10
(D) 3/11
(E) 3/20

varun4s · Answer

Let total income= 100
Income from investment= 45
Non investment income= 55

Income from Municipal Bond=  \frac{2}{3} *45= 30

Required ratio=  \frac{30}{55} =  \frac{6}{11}

Answer: B.

Reet07 · Answer

Let total income be Rs 100
Income from investments- 45% of total = 45
Municipal Bonds- 2/3 of 45 =30
Non investment income = (100-45) = 55
Municipal bonds/ Total non investment = 30/55 = 6/11

- answer B

Please correct me if I am wrong.

Sent from my iPhone using GMAT Club Forum

generis · Answer

The trick here is to catch "noninvestment" income. Assigning values, as above, is very easy with these numbers. Assign values Total income = 100 Investment income is 45 percent of total income Investment income = (.45 * 100) = 45 Noninvestment income = (100 - 45) = 55 Bonds: \frac{2}{3} of INVESTMENT income: 45 * \frac{2}{3}=30 Ratio of income from bonds to total noninvestment income: \frac{30}{55}=\frac{6}{11} Answer B Algebraically If this method is used, fractions are your friends

Total income = y Investment income 45 percent of total income from investments: \frac{45}{100}=\frac{9}{20}y Noninvestment income = y - \frac{9}{20}y = \frac{11}{20}y Bonds are \frac{2}{3} of investment income \frac{9}{20}y : \frac{2}{3}*\frac{9}{20}y=\frac{3}{10}y Ratio of bond income to noninvestment income: \frac{\frac{3}{10}y}{\frac{11}{20}y}= \frac{3}{10}*\frac{20}{11}=\frac{6}{11} Answer B

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In a certain year, the income of an individual from her investments am

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In a certain year, the income of an individual from her investments am

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