Last year if Arturo spent a total of $12,000 on his mortgage

Question

Last year, if Arturo spent a total of $12,000 on his mortgage payments, real estate taxes, and home insurance, how much did he spend on his real estate taxes?

(1) Last year, the total amount that Arturo spent on his real estate taxes and home insurance was 33 1/3 percent of the amount that he spent on his mortgage payments.

(2) Last year, the amount that Arturo spent on his real estate taxes was 20 percent of the total amount he spent on his mortgage payments and home insurance.

Bunuel · Accepted Answer

Last year, if Arturo spent a total of $12,000 on his mortgage payments, real estate taxes, and home insurance, how much did he spend on his real estate taxes?

Let M, R, and H be the amounts that Arturo spent on mortgage payments, real estate taxes, and home insurance, respectively.

Given: M + R + H = 12,000.
Question: R??

(1) Last year, the total amount that Arturo spent on his real estate taxes and home insurance was 33 1/3 percent of the amount that he spent on his mortgage payments --> 33 1/3 percent is 1/3 rd, thus given that R + H = M/3 --> M + R + H = M + M/3 = 12,000 --> M = 9,000 --> R + H = 12,000 - 9,000 = 3,000. R can take more than one value. Not sufficient.

(2) Last year, the amount that Arturo spent on his real estate taxes was 20 percent of the total amount he spent on his mortgage payments and home insurance --> given that R = (M + H)/5 --> 5R = M + H --> M + R + H = 5R + R = 12,000 --> 6R = 12,000 --> R = 2,000. Sufficient.

Answer: B.

DmitryFarberMPrep · Answer

Quick version:

1) This statement lumps together T and I, so we'll never find T. Insufficient.

2) This relates T to the rest. T = .20(M+I). The ratio of T to other is 1 to 5, so the ratio of T to total is 1 to 6. We can now solve (1/6 of $12,000 is $2,000), but as soon as we see that we know the relation of T to the other parts (when we already know the total), we can stop. Sufficient.

bytatia · Answer

Problem: Tax+Morg+Ins=T+M+I=12 000

(1) T+I=331/3% x (12 000 -T -I) -------- (M=12 000 - T - I) Not sufficient.

(2) T=0.2 x (12 000 - T) --------------------(M+I=12 000 - T) Sufficient.

T+0.2T=2 400 
T=2 400/1.2=2 000

EMPOWERgmatRichC · Answer

Hi All,

This question is a measure of your Algebra skills and whether you recognize when you have enough "comparison" information to answer a given question or not.

We're told that $12,000 was spent (in total) on mortgage payments, real estate taxes and home insurance. We're asked for the total spent on real estate taxes.

First, let's set up an equation:

M = money spent on mortgage payments
R = money spent on real estate taxes
H = money spent on home insurance

M + R + H = 12,000 We are asked for the value of R.

Fact 1: The amounts spend on real estate and home insurance are 33% of what was spent on mortgage payments.

From this information, we can create 1 equation:

R + H = .33(M)

From this, we can solve for M by substituting in the value of (R+H)....

M + (.33M) = 12,0000
1.33M = 12,000

HOWEVER, we CANNOT get the value of R from this.
Fact 1 is INSUFFICIENT

Fact 2: The amount spent on real estate is 20% of the total spent on mortgage payments and home insurance.

Here, we can also create 1 equation:

R = .2(M + H)
5R = (M+H)

We can now substitute in the value of (M+H)

R + 5R = 12,000
6R = 12,0000
R = 2,000, so we have answered the question.
Fact 2 is SUFFICIENT.

Final Answer:  B

GMAT assassins aren't born, they're made,
Rich

dave13 · Answer

when it says "Last year, the total amount that Arturo spent on his real estate taxes and home insurance was 33 1/3 percent of the amount that he spent on his mortgage payments " I expressd the red part like this (R+H)0.30 = M why this equality didn't work ?

Same question applies for second statement "Last year, the amount that Arturo spent on his real estate taxes was 20 percent of the total amount he spent on his mortgage payments and home insurance " i expressed the red part of sentance like this (M+H)0.20= R here again it didnt work my equality

why ? what is the difference the way bunuel expressed R + H = M/3, R = (M + H)/5 and my equalities (R+H)0.30 = M , (M+H)0.20= R

Izzyjolly · Answer

1st statement: R+H =  \frac{33+\frac{1}{3}}{100}* M = \frac{1}{3} * M  --> (R+H)* 3  = M --> this is 3, not 0.3

2nd statement:  R=\frac{20}{100}*(M+H)=\frac{1}{5}*(M+H)=0.2*(M+H)  --> Legend  Bunuel  's expression and your expression are the same. You're right in this case.

Hope it's clear.

TheUltimateWinner · Answer

Let,
mortgage payment= m 
real estate tax= t 
home insurance= i 
Prompt says: 
 m+t+i=12000 
  t=?

Statement 1:
  t+i  :  m  = total  
 1 : 3 = 4 
 1×3000 : 3×3000 =4×3000
So,  t+i =3000. We can't find the value of t from this equation.

Statement 2: 
  t  :  m+i   = total  
1 : 5 =6
1×2000 : 5×2000 =6×2000
So, t=2000.
Sufficient..
Correct choice B

hemantbafna · Answer

$12,000= Mortgage payment (MP)+ Real estate taxes (Taxes) + Home insurance (insurance)

(1) Taxes + Insurance = 1/3 (i.e 33.33%) of MP
Value of MP is not known.  Not Sufficient .

(2) Taxes= 1/5 of (MP+ Insurance)

Therefore, $12000=MP+ Insurance + 1/5 of (MP+ Insurance)
We know we can calculate and find the value of MP+ Insurance and subtract it from $12,000 to find the value of Real Estate Taxes.  Sufficient .

Hope it helps!

MHIKER · Answer

M+R+H=12000

(1) R+H=(100/3)M, Which gives the value of Mortgage (M) if it is put no the equation. INSUFFICIENT.

(2) R = (20/100) 
 R = (1/5) 
SO, M+H = 5R, WHICH GIVES THE VALUE OF R IF IT' PUT ON THE ORIGINAL EQUATION. SUFFICIENT.

ANSWER IS B.

ScottTargetTestPrep · Answer

Solution:

Question Stem Analysis:

We can let r, m, and h be the amounts that Arturo spent on his real estate taxes, his mortgage payments, and his home insurance, respectively.

Thus, we know that r + m + h = 12,000. We want to find the value of r.

Statement One Alone:

From statement one, we know that r + h = (1/3)m. Thus, we know that:

r + m + h = 12,000

(1/3)m + m = 12,000

(4/3)m = 12,000

m = 9,000

We know that m = 9,000. However, we still don’t know the value of r. Statement one is not sufficient.

Statement Two Alone:

Statement two tells us that r = 0.2(m + h) = (m + h)/5. Solving for m + h, we obtain m + h = 5r. Substituting for m + h into the original equation, we have:

r + m + h = 12,000

r + 5r = 12,000

6r = 12,000

r = 2,000

We see that r = $2,000. Statement two alone is sufficient.

Answer: B

GMATinsight · Answer

Answer: Option B

Video solution by  GMATinsight

https://www.youtube.com/watch?v=12jiNcz1MtU

avigutman · Answer

Video solution from Quant Reasoning: Subscribe for more: https://www.youtube.com/QuantReasoning? ... irmation=1 https://www.youtube.com/watch?v=_2kUjF3xYr0

totaltestprepNick · Answer

B https://www.youtube.com/watch?v=Qv4Y0xVGDZo Nick Slavkovich, GMAT/GRE tutor with 20+ years of experience tutoring@totaltestprep.net

Last year if Arturo spent a total of $12,000 on his mortgage

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Last year if Arturo spent a total of $12,000 on his mortgage

Prep Toolkit

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