kaplan average problem

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pradeepkaushal9518: Legendary Member; Posts: 1309; Joined: Wed Mar 17, 2010 11:41 pmFollowed by: 5 members; Thanked: 33 times

by pradeepkaushal9518 » Tue May 04, 2010 7:32 am

monday $75.38
tuesday $ 75.63
wednesday $75.42
thursday $ 75.52
friday

the table above shows the closing price of a stock during a week. if the average closing price for the five days was $75.50, what was the closing price on friday?
kindly solve without using the traditional way.

kindly rate the intensity of problem
easy, not easy, hard, very hard
or average,good,very good, excellent

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Source: Beat The GMAT — Problem Solving | Tue May 04, 2010 7:32 am

debmalya_dutta: Master | Next Rank: 500 Posts; Posts: 385; Joined: Sun Jul 12, 2009 10:16 pmFollowed by: 2 members; Thanked: 29 times; GMAT Score:710

by debmalya_dutta » Tue May 04, 2010 7:36 am

Total =75.5*5
5th day closing price = (75.5*5) - (75.38+75.63+75.42+75.52) = 75.55

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ssuarezo: Master | Next Rank: 500 Posts; Posts: 126; Joined: Wed Jun 24, 2009 1:12 pm; Location: Montreal; Thanked: 2 times; GMAT Score:510

by ssuarezo » Tue May 04, 2010 7:40 am

debmalya_dutta wrote:Total =75.5*5
5th day closing price = (75.5*5) - (75.38+75.63+75.42+75.52) = 75.55

Clear explanation. No need to redo it.
Rate: Easy.

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pradeepkaushal9518: Legendary Member; Posts: 1309; Joined: Wed Mar 17, 2010 11:41 pmFollowed by: 5 members; Thanked: 33 times

by pradeepkaushal9518 » Tue May 04, 2010 7:57 am

sorry dudes its not the correct answer and its the traditional way only any body else

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ssuarezo: Master | Next Rank: 500 Posts; Posts: 126; Joined: Wed Jun 24, 2009 1:12 pm; Location: Montreal; Thanked: 2 times; GMAT Score:510

by ssuarezo » Tue May 04, 2010 8:55 am

pradeepkaushal9518 wrote:sorry dudes its not the correct answer and its the traditional way only any body else

Pradeep,
Either traditional or not, we should get the same answers. it's an average question (unless stock pricing works diferently), so no mystery on it with new formulas. By the way, I dont know what it would be non traditional without being harder as, as far as I know, this is the simplest way to solve average problems.

Would u solve it with some of your non-traditional examples?

Thanks
Silvia

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pradeepkaushal9518: Legendary Member; Posts: 1309; Joined: Wed Mar 17, 2010 11:41 pmFollowed by: 5 members; Thanked: 33 times

by pradeepkaushal9518 » Tue May 04, 2010 9:15 am

sorry there is one mistake the monday closing is 75.58 in place of 75.38.
you will get the correct answer. but by this method we have to do a lots of calculation that is traditional way.

monday 75.58 average +0.08
tuesday 75.63 average+0.13
wednesday 75.42 average -0.08
thursday 75.52 average+0.02
after 4 days average +0.15

to make the values balance out the fifth day must be ( average-0.15) or 75.35

i expect this method as it contains less calculations

thanks silvia for your repsonse

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frank1: Legendary Member; Posts: 537; Joined: Fri Jan 22, 2010 10:06 pmFollowed by: 1 member; Thanked: 14 times

by frank1 » Tue May 04, 2010 9:34 am

i was astonished to know difference method yeilds different answers
but seems like it is not the case
any way if i were to do this in real gmat
i think i would do

thinking:the answer is 75.xx
now
(0.5*5) - (0.38+0.63+0.42+0.52) = 0.55
that addition seems long but it can be done at once and is manageble inside 2 minutes i guess...
i think in non traditional way you described,the problem is final average of 4 numbers
(if just addition can do why to derive average plus you are substracting each value individually as well)

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harshavardhanc: Legendary Member; Posts: 526; Joined: Sat Feb 21, 2009 11:47 pm; Location: India; Thanked: 68 times; GMAT Score:680

by harshavardhanc » Tue May 04, 2010 10:24 am

pradeepkaushal9518 wrote:
monday $75.58
tuesday $ 75.63
wednesday $75.42
thursday $ 75.52
friday ?

Avg for 5 days : 75.50

4 days surplus is [ +(.08) + (.13) - (.08) + (.02) ] = .15

so the fifth day should be .15 less than the avg. i.e 75.35 .

Regards,
Harsha

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kstv: Legendary Member; Posts: 610; Joined: Fri Jan 15, 2010 12:33 amFollowed by: 2 members; Thanked: 47 times

by kstv » Tue May 04, 2010 4:48 pm

pradeepkaushal9518 wrote:sorry there is one mistake the monday closing is 75.58 in place of 75.38.
you will get the correct answer. but by this method we have to do a lots of calculation that is traditional way.
monday 75.58 average +0.08
tuesday 75.63 average+0.13
wednesday 75.42 average -0.08
thursday 75.52 average+0.02
after 4 days average +0.15
to make the values balance out the fifth day must be ( average-0.15) or 75.35
i expect this method as it contains less calculations
thanks silvia for your repsonse

what were the answer options, if so please post them ?

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