A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
A 16.5%
B 20%
C 35%
D 65%
E 65%
OA is B
Can anyone please demonstrate a non-algebric i.e. faster method to solve this?
Non-algebric method needed
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Hi,
We can use alligation method:
Salary costs ->3%
Fringe benefit ->5.5%
Mixture -> 3.5%
So, Ratio of salary costs and fringe benefits = (5.5-3.5)/(3.5-3) = 4:1
So fringe -> (1/4+1)*100 = 20%
We can use alligation method:
Salary costs ->3%
Fringe benefit ->5.5%
Mixture -> 3.5%
So, Ratio of salary costs and fringe benefits = (5.5-3.5)/(3.5-3) = 4:1
So fringe -> (1/4+1)*100 = 20%
Cheers!
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Things are not what they appear to be... nor are they otherwise
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Hi,GmatKiss wrote:Hi Frank,
Can you please explain this part of the solution,
So fringe -> (1/4+1)*100 = 20%
TIA
Let's say a mixture of A and B has A and B in the ratio 4:1
So, 100 parts of mixture has 80 parts of A and 20 parts of B right?
Same here.
Cheers!
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Things are not what they appear to be... nor are they otherwise
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Salary increase = 3%.blackjack wrote:A survey of employers found that during 1993 employment costs rose 3.5 percent, where employment costs consist of salary costs and fringe-benefits costs. If salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent during 1993, then fringe-benefit costs represented what percent of employment costs at the beginning of 1993?
A 16.5%
B 20%
C 35%
D 65%
E 65%
OA is B
Can anyone please demonstrate a non-algebric i.e. faster method to solve this?
Fringe increase = 5.5%.
Salary+Fringe increase = 3.5%.
I too would use alligation, which dictates the following:
The proportion of each element in the mixture is equal to the distance between the percentage attributed to the other element in the mixture and the percentage attributed to the mixture.
Proportion of salary in the mixture = distance between fringe % and mixture % = |5.5 - 3.5| = 2
Proportion of fringe in the mixture = distance between salary % and mixture % = |3 - 3.5| = .5
Ratio of salary:fringe in the mixture = (2) : (.5) = 4:1.
Since salary:fringe = 4:1, and 4+1 = 5, fringe/total = 1/5 = 20%.
The correct answer is B.
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I think algebra is the fastest way to solve this.
Let, salary costs = x and fringe-benefits costs =y
1st equation : 'employment costs consist of salary costs and fringe-benefits costs'
=>x+y =1
2nd equation: employment costs rose 3.5 percent, salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent
=> 1.03x + 1.055y = 1.035
Here you go..two equations which you can easily solve for y
PS : Sorry for being off the topic.
Let, salary costs = x and fringe-benefits costs =y
1st equation : 'employment costs consist of salary costs and fringe-benefits costs'
=>x+y =1
2nd equation: employment costs rose 3.5 percent, salary costs rose 3 percent and fringe-benefit costs rose 5.5 percent
=> 1.03x + 1.055y = 1.035
Here you go..two equations which you can easily solve for y
PS : Sorry for being off the topic.