XYZ Company pays its executives a starting salary of $80,000 per year.

Question

XYZ Company pays its executives a starting salary of $80,000 per year. After every two years of employment, an XYZ executive receives a salary raise of $1,000. Which of the following equations best defines an XYZ executive’s salary (S) as a function of the number of years of employment (N) at XYZ?

(A)  S = \frac{1,000}{N} + 80 000

(B)  S = N + 80,000

(C)  S = \frac{80,000}{N} + 1 000

(D)  S = 1,000N + 80,000

(E)  S = 500N + 80,000

UsamaGuddar · Answer

The answer seems E but this questions should have more conditions such that the salary will always be in multiples of 10k or something. Otherwise when N =1, e would be 8500 which isn’t possible as increments are applicable every 2 years.. thoughts?

Posted from my mobile device

Posted from my mobile device

akadiyan · Answer

The increment of 1000$ is paid in increment of 2 years. At first glance answer looks like E, but the answer choice E will not work if the number of years of employment is a odd number since next increment would happen only

Example:
Consider the number of years of employment is 5 years

According to option E, the salary yearned would be 
S=500N+80,000 = 500 (5)+80000 = 825000

But this number is not possible since the increment is in 1000s and so last salary increase after 4 years would be 82000 and after 6 years it would 83000.

It looks like the answer choices did not consider the possibility of number of years of employment to be odd.

imeanup · Answer

As per the question, "best describe" and "after every two years of employment" are the main focus. PoE is the best option to process this question and I agree that  N = Odd , the condition doesn't satisfy, but the increment occurs every 2 years i.e.  N   must be an  Even  integer.  Therefore, Ans is E.

Kinshook · Answer

Given: XYZ Company pays its executives a starting salary of $80,000 per year. After every two years of employment, an XYZ executive receives a salary raise of $1,000. 
Asked: Which of the following equations best defines an XYZ executive’s salary (S) as a function of the number of years of employment (N) at XYZ?

Executive salary after N years = S = $80,000 + $500N: If N is even
Executive salary after N years = S = $80,000 + $500(N-1) = $75,000 + $500N: If N is odd

Since question asks which equation best defines an XYZ executive’s salary (S) as a function of the number of years of employment (N) at XYZ

IMO E

Other options are not even close approximation.

XYZ Company pays its executives a starting salary of $80,000 per year.

Prep Toolkit

Top 5 GMAT Debrief Videos

615 to 715 in 15 Days (Ria's Strategies)

More than Quant/Verbal Abilities: Speed vs. Accuracy

745 with Only Self-Prep and GMAT Club

From 555 to 765: 210-point Improvement

Perfect 805 Score Debrief by Julia

My Rewards

GMAT Problem Solving (PS) Questions

XYZ Company pays its executives a starting salary of $80,000 per year.

Prep Toolkit

615 to 715 in 15 Days (Ria's Strategies)

More than Quant/Verbal Abilities: Speed vs. Accuracy

745 with Only Self-Prep and GMAT Club

From 555 to 765: 210-point Improvement

Perfect 805 Score Debrief by Julia

My Rewards