Beth's bank charges a service fee on a regular checking account for each month in which the balance on the account falls below $100 at any time during the month. Did the bank charge a service fee on Beth's regular checking account last month?
(1) During last month, a total of $1,000 was withdrawn from Beth's regular checking account.
(2) At the beginning of last month, Beth's regular checking account balance was $500.
OA E
Source: GMAT Prep
Beth's bank charges a service fee on a regular checking account for each month in which the balance on the account
This topic has expert replies
-
- Moderator
- Posts: 7187
- Joined: Thu Sep 07, 2017 4:43 pm
- Followed by:23 members
Timer
00:00
Your Answer
A
B
C
D
E
Global Stats
GMAT/MBA Expert
- Brent@GMATPrepNow
- GMAT Instructor
- Posts: 16207
- Joined: Mon Dec 08, 2008 6:26 pm
- Location: Vancouver, BC
- Thanked: 5254 times
- Followed by:1268 members
- GMAT Score:770
Timer
00:00
Your Answer
A
B
C
D
E
Global Stats
Target question: Did the bank charge a service fee on Beth's regular checking account last month?BTGmoderatorDC wrote: ↑Mon Dec 06, 2021 6:33 pmBeth's bank charges a service fee on a regular checking account for each month in which the balance on the account falls below $100 at any time during the month. Did the bank charge a service fee on Beth's regular checking account last month?
(1) During last month, a total of $1,000 was withdrawn from Beth's regular checking account.
(2) At the beginning of last month, Beth's regular checking account balance was $500.
OA E
Source: GMAT Prep
REPHRASED target question: Did Beth's balance ever go below $100?
Statement 1: During last month, a total of $1,000 was withdrawn from Beth's regular checking account.
Were given no information about her starting balance, so we can't say whether or not Beth's balance went below $100
INSUFFICIENT
Statement 2: At the beginning of last month, Beth's regular checking account balance was $500.
Were given no information about how much money Beth withdrew over the month, so we can't say whether or not Beth's balance went below $100
INSUFFICIENT
Statements 1 and 2 combined
Here are two CONTRADICTORY scenarios that could have occurred:
Case a: Beth begins the month with $500. On Day 2, she deposits $500 more. On Day 3, she withdraws $1000. In this case, Beth's balance went below $100.
Case b: Beth begins the month with $500. On Day 2, she deposits $10,000 more. On Day 3, she withdraws $1000. No other deposits or withdrawals are made for the rest of the month. In this case, Beth's balance NEVER went below $100.
Since we cannot answer the REPHRASED target question with certainty, the combined statements are NOT SUFFICIENT
Answer = E
Cheers,
Brent