BREAKING: Target Test Prep releases Brand New 2026 On Demand GMAT prep course

Redeem

Target Test Prep · GMAT

Choose how you want to prepare

Learn live with an expert or move at your own pace. Every option includes the complete TTP study system.

★★★★★5.0559 reviews
GMATLiveTeach 7 seats left
Chris Peckover
NEXT LIVE COHORT

Oct 13 to Jan 7, 2027

with Chris Peckover

Schedule
Tue, Thu · 8:00 to 10:00 PM ET
Included
40 live hours + 6 months of GMAT OnDemand
  • Live instruction and real-time questions
  • Class recordings and assigned practice
View class & enroll
Limited cohort · enrollment openTarget Test Prep
EALiveTeach 5 seats left
Logan Thompson
EXECUTIVE ASSESSMENT

Sep 6 to Dec 6, 2026

with Logan Thompson

Schedule
Sun · 9:30 AM to 12:30 PM ET
Included
40 hours of live online classes plus six months of access to the complete TTP EA OnDemand course.
  • 165+ EA Score Guarantee
  • 4,100+ Quant, Verbal, and Integrated Reasoning practice questions
  • 400+ hours of in-depth video lessons
  • 3,000+ step-by-step video solutions
View EA class & enroll
Limited cohort · enrollment openTarget Test Prep
GMATOnDemand Start anytime
SELF-PACED MASTERCLASS

Target Test Prep GMAT OnDemand

Complete access from day one. Study on your schedule.

715+ score guarantee
$0to start then $127/mo
  • Personalized study plan and analytics
  • Thousands of lessons and practice questions

Compare the format, schedule, and included access before enrolling. Prices and seat counts shown reflect the supplied offer details.

During the four years that Mrs. Lopez owned her car, she

Expert replies
by BTGmoderatorDC » Sun Nov 11, 2018 9:40 pm

Timer

00:00

Answers

A

B

C

D

E

Stats

Difficulty

During the four years that Mrs. Lopez owned her car, she found that her total car expenses were $18,000. Fuel and maintenance costs accounted for 1/3 of the total and depreciation accounted for 3/5 of the remainder. The cost of insurance was 3 times the cost of financing, and together these two costs accounted for 1/5 of the total. If the only other expenses were taxes and license fees, then the cost of financing was how much more or less than the cost of taxes and license fees?

(A) $1,500 more

(B) $1,200 more

(C) $100 less

(D) $300 less

(E) $1,500 less

OA D

Source: Official Guide
Join the discussion
Source: — Problem Solving |

by swerve » Mon Nov 12, 2018 9:50 am
Fuel & Maintenance = 1/3
depreciation = 3/5 of the rest = 3/5*2/3 = 2/5
Insurance = 3 * Financing
Insurance + Finance = 1/5

Let Taxes & License = x

so compute for x

1/3 + 2/5 + 1/5 + x = 1
x= 1/15

Amount of x = 1/15*18000 = 1200 -- (1)

Now I + F = 1/5*18000
but I = 3F
so 4F = 1/5*18000
F= 900 -- (2)

Ans is (2) - (1)...i.e. 300 less
Join the discussion

by [email protected] » Mon Nov 12, 2018 11:09 am
Hi All,

While this question IS wordy, the math behind it is just arithmetic. If you break the prompt into 'pieces', then the work shouldn't be too difficult. The first two sentences tell us that the total car expenses were $18,000, fuel and maintenance costs accounted for 1/3 of THAT total and depreciation accounted for 3/5 of the REMAINDER.

TOTAL = $18,000
Fuel/Maint. = (1/3)($18,000) = $6,000
Remainder = $18,000 - $6,000 = $12,000

Depreciation = (3/5)($12,000) = $7,200

Next, we're told that
Insurance = 3(Financing)
Insurance + Financing = (1/5)($18,000)

Here, we have a 'system' of equations (2 variables and 2 unique equations), so we can solve for both variables...

Insurance + Financing = $3,600
3(Financing) + Financing = $3,600
4(Financing) = $3,600
Financing = $900

Insurance + $900 = $3,600
Insurance = $2,700

At this point, we have....
Total = $18,000
Fuel/Maint. = (1/3)($18,000) = $6,000
Depreciation = (3/5)($12,000) = $7,200
Financing = $900
Insurance = $2,700

$6,000 + $7,200 + $900 + $2,700 = $16,800

This leaves $1,200 for the remaining costs, which we're told are the Taxes and Licensing Fees

Taxes&Licensing = $1,200

The question asks how much more/less the Financing cost was compared to the Taxes&Licensing....

$900 - $1,200 = - $300 = $300 LESS

Final Answer: D

GMAT assassins aren't born, they're made,
Rich
Contact Rich at [email protected]
Image
Join the discussion