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How Much Pat earned ?

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by quocbao » Tue Mar 03, 2009 8:24 am
Hi, I met this problem in a GMAT topic, I don't really understand the answer. Can someone explain it to me.

====

If Pat saved 600$ of his earnings last month. How much did Pat earn last month ?

1. Pat spent 1/2 of his earnings last month for living expenses and saved 1/3 of the remainder.

2. Of his earnings last month. Pat paid twice as much in taxes as he saved.

====

I think the answer is C, but actually it is A and I don't really understand :-(

Thanks for your time
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Source: — Data Sufficiency |
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by lilu » Tue Mar 03, 2009 11:23 am
Pat saved $600 last month.
Statement 1 tells us that Pat spent 1/2 of money and saved 1/3 of the remaining half (those $600).
So if total earnings = x, then the remaining half = 1/2x and 1/3 of that = 1/3(1/2x)=600.
So, 1/6x=600; x=3600

Suff

The Second statement does not have any numerical information in regards to Pat's total income, so we can't relate $600 savings to it.

B-insuff

Choose A
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by quocbao » Tue Mar 03, 2009 7:57 pm
What I don't understand here is taxes. Because I don't actually do the calculation, so I think :

I ==> we will find his income after taxes
II ==> we will find his income before taxes

So I choose C, I & II. Isn't it something like net income ?
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by PAB2706 » Tue Mar 03, 2009 11:30 pm
I think the tax thing is a redundant information that they have provided. in the question stem they have not mentioned anything about the taxes like wht percent tax is levied and all....thts why statement 2 shud be ignored. Statement 1 is sufficient to get wht is asked for.
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