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
Vote for Target Test Prep, Newsweek Readers’ Choice Awards 2026
NEWSWEEK READERS’ CHOICE 2026

BIG NEWS! Target Test Prep has been nominated, and they’d love your vote!

TTP has worked incredibly hard to build the best test prep experience possible, and winning Newsweek’s 2026 Readers’ Choice Award for Best Test Prep would mean a lot to them. If TTP has helped you, they’d be incredibly grateful for your vote. You can vote once each day through September 9.

Vote for TTP
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
Start free 5-day trial
Read 559 reviewsTarget Test Prep

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

Word Problem

Expert replies
Post new topic Post Reply
Previous Topic Next Topic
User avatar
Junior | Next Rank: 30 Posts
Posts: 14
Joined: Mon Jan 14, 2013 1:41 pm
by outty » Sun Jun 01, 2014 10:02 am
Alice's take-home pay last year was the same each month, and she saved the same fraction of her take-home pay each month. The total amount of money that she had saved at the end of the year was 3 timex the amount of that portion of her monthly take-home pay that she did NOT save. If all the money that she saved last year was from her take-home pay, what fraction of her take-home pay did she save each month?

1/2
1/3
1/4
1/5
1/6

d
Top
Join the discussion
Log in to postLogin with Googleuse password
QUOTE IN REPLY
Source: — Problem Solving |
User avatar
Junior | Next Rank: 30 Posts
Posts: 14
Joined: Mon Jan 14, 2013 1:41 pm

by outty » Sun Jun 01, 2014 10:02 am
I really just got lost in the passage. If anyone can lend a good strategy to approach this type of question, that would be great!
Top
Join the discussion
Log in to postLogin with Googleuse password
QUOTE IN REPLY

GMAT/MBA Expert

User avatar
GMAT Instructor
Posts: 16207
Joined: Mon Dec 08, 2008 6:26 pmFollowed by: 1268 members
Location: Vancouver, BC
Thanked: 5254 times
GMAT Score:770

by Brent@GMATPrepNow » Sun Jun 01, 2014 10:29 am
outty wrote:Alice's take-home pay last year was the same each month, and she saved the same fraction of her take-home pay each month. The total amount of money that she had saved at the end of the year was 3 timex the amount of that portion of her monthly take-home pay that she did NOT save. If all the money that she saved last year was from her take-home pay, what fraction of her take-home pay did she save each month?
a) 1/2
b) 1/3
c) 1/4
d) 1/5
e) 1/6
Here's an algebraic approach.

Let M = Alice's monthly take home pay
Let f = the fraction we'll use to calculate monthly savings
The means that fM = the amount of $ Alice saves each month.
And this means that her annual savings = 12fM

Important: If f = the fraction used to calculate monthly savings, then 1-f = the fraction used to calculate amount not saved
The means that (1-f)M = the amount of $ Alice does not save each month.

Now we're ready to write an equation.

The total amount of money that she had saved at the end of the year was 3 times the amount of that portion of her monthly take home pay that she did not save.
We get: 12fM = 3(1-f)M
Now solve for f
Expand to get: 12fM = 3M - 3fM
Simplify: 15fM = 3M
Divide both sides by 15M to get: f = 3M/15M = [spoiler]1/5 = D[/spoiler]

Cheers,
Brent
Brent Hanneson - Creator of GMATPrepNow.com
Image
Top
Join the discussion
Log in to postLogin with Googleuse password
QUOTE IN REPLY
User avatar
GMAT Instructor
Posts: 15539
Joined: Tue May 25, 2010 12:04 pmFollowed by: 1906 members
Location: New York, NY
Thanked: 13060 times
GMAT Score:790

by GMATGuruNY » Sun Jun 01, 2014 12:36 pm
Alice's take-home pay last year was the same each month, and she saved the same fraction of her take-home pay each month. The total amount of money that she had saved at the end of the year was 3 times the amount of that portion of her monthly take-home pay that she did not save. If all the money that she saved last year was from her take-home pay, what fraction of her take-home pay did she save each month?

a. 1/2
b. 1/3
c. 1/4
d. 1/5
e. 1/6
We can PLUG IN THE ANSWERS, which represent the fraction that must be saved each month.
When the correct answer choice is plugged in, the total amount saved at the end of the year will be 3 times the amount NOT saved each month.

Answer choice D: 1/5
Let the monthly pay = $5.
Since 1/5 is saved each month, the amount saved each month = 1/5 * 5 = $1.
Thus, the amount NOT saved each month = 5-1 = $4.
Since $1 is saved each month, the total amount saved at the end of the year = 12*1 = $12.
Success!
The total amount saved at the end of the year ($12) is 3 times the amount not saved each month ($4).

The correct answer is D.

Slightly different algebraic approach:

Let the monthly income = $1.
Let x = the fraction saved each month.
Fraction not saved each month = 1-x.
Total saved at the end of the year = 12x.
Since the total saved is equal to 3 times the fraction not saved each month, we get:
12x = 3(1-x)
12x = 3 - 3x
15x = 3
x = 3/15 = 1/5.

The correct answer is D.
Private tutor exclusively for the GMAT and GRE, with over 20 years of experience.
Followed here and elsewhere by over 1900 test-takers.
I have worked with students based in the US, Australia, Taiwan, China, Tajikistan, Kuwait, Saudi Arabia -- a long list of countries.
My students have been admitted to HBS, CBS, Tuck, Yale, Stern, Fuqua -- a long list of top programs.

As a tutor, I don't simply teach you how I would approach problems.
I unlock the best way for YOU to solve problems.

For more information, please email me (Mitch Hunt) at [email protected].
Student Review #1
Student Review #2
Student Review #3
Top
Join the discussion
Log in to postLogin with Googleuse password
QUOTE IN REPLY
Post new topic Post Reply
• Page 1 of 1