If the total payroll expense of a certain business in year Y was $84,000, which was 20 percent more than in year X, what

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by AAPL » Thu Sep 02, 2021 2:49 am

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If the total payroll expense of a certain business in year Y was $84,000, which was 20 percent more than in year X, what was the total payroll expense in year X?

A. $70,000
B. $68,320
C. $64,000
D. $60,000
E. $52,320

OA A

Source: Beat The GMAT — Problem Solving | Thu Sep 02, 2021 2:49 am

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Re: If the total payroll expense of a certain business in year Y was $84,000, which was 20 percent more than in year X,

by Brent@GMATPrepNow » Thu Sep 02, 2021 5:58 am

AAPL wrote: ↑
Thu Sep 02, 2021 2:49 am
Official Guide

If the total payroll expense of a certain business in year Y was $84,000, which was 20 percent more than in year X, what was the total payroll expense in year X?

A. $70,000
B. $68,320
C. $64,000
D. $60,000
E. $52,320

OA A

We can solve this question algebraically or by testing the answer choices.

Algebraic solution
Let x = the expenses in year X
So we can write: 1.2x = 84,000
Solve: x = 84,000/1.2 = 70,000
Answer: A

testing the answer choices
(A) $70,000
1.2(70,000) = 84,000
Done!
Answer: A

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