What percentage of his bills did Stanley pay before their

This topic has expert replies
Senior | Next Rank: 100 Posts
Posts: 46
Joined: Fri Oct 11, 2013 5:42 am
Thanked: 4 times
What percentage of his bills did Stanley pay before their due dates last month?

(1) Last month Stanley would have paid 70 percent of his bills before their due dates if he had paid 40 percent more bills than he actually did.

(2) Last month the ratio of total bills to bills paid before their due dates was 2 : 1.

OA
[spoiler][/spoiler]

User avatar
GMAT Instructor
Posts: 15539
Joined: Tue May 25, 2010 12:04 pm
Location: New York, NY
Thanked: 13060 times
Followed by:1906 members
GMAT Score:790

by GMATGuruNY » Sat May 10, 2014 6:21 am
To clarify the problem's intent, I've added the phrase in red to Statement 1:
canbtg wrote:What percentage of his bills did Stanley pay before their due dates last month?

(1) Last month Stanley would have paid 70 percent of his bills before their due dates if he had paid 40 percent more bills before their due dates than he actually did.

(2) Last month the ratio of total bills to bills paid before their due dates was 2 : 1.
(2) Last month the ratio of total bills to bills paid before their due dates was 2:1.
Case 1: Total number of bills = 20, bills paid before their due dates = 10.
In this case, (paid before due date)/(total bills) = 10/20 = 1/2 = 50%.

Case 2: Total number of bills = 40, bills paid before their due dates = 20.
In this case, (paid before due date)/(total bills) = 20/40 = 1/2 = 50%.

Since the percentage in each case is the same, SUFFICIENT.

(1) Last month Stanley would have paid 70 percent of his bills before their due dates if he had paid 40 percent more bills before their due date than he actually did.
Check whether Cases 1 and 2 also satisfy statement 1.

Case 1: Total number of bills = 20, bills paid before their due dates = 10.
Increased by 40%, bills paid before their due dates = 10 + 40% of 10 = 10+4 = 14.
(increased number of bills paid before their due dates)/(total bills) = 14/20 = 70/100 = 70%.
The resulting percentage is 70%, as required by statement 1.

Case 2: Total number of bills = 40, bills paid before their due dates = 20.
Increased by 40%, bills paid before their due dates = 20 + 40% of 20 = 20+8 = 28.
(increased number of bills paid before their due dates)/(total bills) = 28/40 = 14/20 = 70/100 = 70%.
The resulting percentage is 70%, as required by statement 1.

Since Cases 1 and 2 also satisfy Statement 1, Statement 1 implies the same ratio as described in Statement 2:
(total bills)/(bills paid before their due dates) = 2:1.
Thus, like Statement 2, Statement 1 implies that 50% of the bills were paid on time.
SUFFICIENT.

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

GMAT/MBA Expert

User avatar
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

by Brent@GMATPrepNow » Sat May 10, 2014 6:58 am
What percentage of his bills did Stanley pay before their due dates last month?

(1) Last month Stanley would have paid 70 percent of his bills before their due dates if he had paid 40 percent more bills before their due dates than he actually did.

(2) Last month the ratio of total bills to bills paid before their due dates was 2 : 1.
Target question: What percentage of his bills did Stanley pay before their due dates last month?
This is a great candidate for rephrasing the target question.
Aside: We have a free video with tips on rephrasing the target question: https://www.gmatprepnow.com/module/gmat- ... cy?id=1100

Let P = # of bills PAID before due date
Let T = TOTAL # of bills

IMPORTANT: If we can determine the ratio P/T then we can calculate the required percent. For example, if P/T = 3/4, then Stanley paid 75% of his bills.
So, we can rephrase the target question as....
REPHRASED target question: What is the value of P/T?

Statement 1: Last month Stanley would have paid 70 percent of his bills before their due dates if he had paid 40 percent more bills before their due dates than he actually did.

If Stanley had paid 40 percent more bills before their due dates than he actually did, then he would have paid 1.4P bills.
We're told that this would have resulted in Stanley paying 70% (i.e., 7/10) of his bills.
So, we can write 1.4P/T = 7/10
If we take this equation and divide both sides by 1.4, we get P/T = 1/2
Since we can answer the REPHRASED target question with certainty, statement 1 is SUFFICIENT

Aside: This means that Stanley paid 50% of his bills on time.

Statement 2: Last month the ratio of total bills to bills paid before their due dates was 2 : 1
In other words, T/P = 2/1
Or we can write: P/T = 1/2
Since we can answer the REPHRASED target question with certainty, statement 2 is SUFFICIENT

Answer = D

Cheers,
Brent
Brent Hanneson - Creator of GMATPrepNow.com
Image