The key concept here is Three-Set Inclusion-Exclusion — one of the most consistently tested PS topics on the GMAT Focus Edition.
The formula is:
Total = A + B + C − (exactly two groups) − 2(all three) + None
Note the common trap first: many students write "−(at least two)" instead of "−(exactly two)." The question gives you exactly two (30%), so you can plug directly. If you mix these up, you'll get a wrong equation every time.
Let total residents = 100 (picking 100 makes percentages clean to work with).
Step 1: Write down what we know.
A (yoga) = 30, B (cycling) = 50, C (walks) = 70
Exactly two activities = 30
All three = x, None = n, and we're told x = 3n
Step 2: Plug into the Inclusion-Exclusion formula.
100 = 30 + 50 + 70 − 30 − 2x + n
100 = 120 − 2x + n
Step 3: Substitute x = 3n.
100 = 120 − 2(3n) + n
100 = 120 − 6n + n
100 = 120 − 5n
5n = 20 → n = 4
Step 4: Solve for x.
x = 3n = 3 × 4 = 12
Answer: C (12%)
The trap here is the formula version — some students subtract "2 × (at least two)" which double-counts the "exactly two" group. Once you're clear that the formula uses exactly two, this question solves cleanly in under 90 seconds.
Takeaway: Whenever a three-set problem gives you the "exactly two" overlap directly, you can plug it into the Inclusion-Exclusion formula without any additional decomposition.