All Courses
Explore Courses UPSC Exam UPSC Test Series Free Notes EduRev Infinity Get the App Login Join for Free
Sign in Open App
GMAT Exam  >  GMAT Questions  >  A sum of $12 million was divided between two ... Start Learning for Free
SaveJoin the Discussion on the App
A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.
  • a)
    $4.6 million, $9.2 million
  • b)
    $4.6 million, $7.4 million
  • c)
    $2.8 million, $7.4 million
  • d)
    $10.5 million, $1.5 million
  • e)
    $4.6 million, $2.8 million
Correct answer is option 'B'. Can you explain this answer?
FREE This question is part of
Download PDF Attempt Test
Download PDF Attempt this Test
Most Upvoted Answer
A sum of $12 million was divided between two investments. The smaller ...
Suppose,
Smaller portion (@6%) = 100x
Larger portion (@4%) = 100y
Putting all values in '000s, we get
100x + 100y = 12000
or, x + y = 120.....................(1)
-6x + 4y = 20................................(2)
Solving (1) & (2) equations, we get
100x = 4600 ('000s) = 4.6 mn
100y = 7400 ('000s) = 7.4 mn
A. Amount invested at 6%
$4.6 million
B. Amount invested at 4%
$7.4 million
Attention GMAT Students!
To make sure you are not studying endlessly, EduRev has designed GMAT study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in GMAT.
< Previous Question Next Question >
Explore Courses for GMAT exam

Similar GMAT Doubts

Card #1In 2011, the Cornucopia Products Company (CPC) realized $100,000 in profits. Their 2011 customer base of 20,000 is relatively stable. Based on past trends, they can expect to retain that customer base in 2012. If they make no additional changes in marketing or R & D, then it is reasonable to expect their customer base in 2012 will be remain the same. Increasing their profits will depend on generating new customers either through successful advertising campaigns and or attractive fruits of research & development. The total customer base C in 2012 will be the retained customers plus any new customers. If C is their 2012 customer base in thousands, then their profit P (in thousands of dollars) is given byP = 0.01C^2 + 7C – 44Card #2In 2012, CPC can choose to invest some part of its 2011 profits in one or more forms of advertising. In everything on this card, X = money (in thousands of dollars) invested in that form of advertising, and N is the number of new customers (in thousands), on average, that form of advertising is likely to generate in 2012.1) Print MediaInvestment: no more than $10,000, due to sharply diminishing returns above that threshold.If X < 10, N = X/22) TV & Movie advertisingInvestment: minimum of $15,000If X > 15, N = 2X/3 – 103) Web-based advertisingInvestment: no lower or upper limitN = X/4Card #3In CPCs Research and Development (R & D), many new products have been developed in the past, contributing to its financial success. In 2012, CPC has already allocated a small baseline budget to ongoing R & D, without any expectation that those results will bear fruit in this calendar year. Beyond that, CPC has to decide about whether to put more money from its 2011 profits into two ongoing projects.Project A has been in development for a little over a year. It is close to completion. The most reliable data about Project A suggest if CPC makes a $10000 investment in 2011, theres an 80% chance of producing a new product that would add 5,000 new customers in 2012; if CPC makes a $30,000 investment, theres a 20% chance of producing a suite of new products that would add 30,000 new customers.Project B is a relatively new product, involving some cutting edge technology. Its very expensive, and the results are uncertain. The most reliable data about Project B suggest if CPC makes a $40000 investment in 2011, theres a 40% chance that the new products would add 50,000 new customers in 2012.Q.At what level of investment would TV & movie advertising create, on average, the same number of new customers as web based advertising?

In the first year of a couples marriage, the wifes earnings were 40 percent of the combined earnings of the couple. The wife invested 40 percent of her earnings at an annual return of 5 percent and the husband invested 30 percent of his earnings at an annual return of 10 percent. In the second year of their marriage, the combined earnings of the couple increased by 10 percent and the wifes earnings were five-sixths of her husbands earnings. The wife invested 48 percent of her earnings and the husband invested 50 percent of his earnings in their respective investment instruments of the previous year. If the couple made no other investments and took out the interest earned in the first year at the beginning of the second year, by approximately what percent was the interest earned by the couple in the second year greater than the interest earned by the couple in the first year of their marriage? The interest income from the couples investments is not considered in their earnings.

While there is no guarantee that increased investment in achieving energy independence will solve all of Americas unemployment problems, the results so far have demonstrated that it will definitely help the cause. Under President Obamas watch, such increased investment has so far created 1.5 million jobs and has demonstrated the potential to create many more.After a four-decade decline in oil production, the U.S. is now producing enough oil to serve more than half of our oil needs. This has the potential to free us from our addiction to foreign-sourced barrels, particularly if we utilize our dramatically larger and cheaper reserves of natural gas, which now costs the equivalent of less than $15 per barrel, versus the $100-plus per barrel of oil we import from the Middle East. The money saved by increased use of natural gas has helped in greater investments and has created more than 75,000 jobs domestically.Moreover, the presidents policies have motivated companies to invest more in clean energy to the extent that American companies make over 75% of all venture investments in clean technologies. Overall, because of U.S. public and private investments in clean energyincluding renewables, efficiency, transportation, and infrastructurethe clean economy grew by 8.3% from 2008 to 2009, even during the depths of the recession. Even though several technologies, such as solar power, are still not as cost-competitive as imported oil, expanding these clean-energy investments is good economics as they will help preserve and expand Americas middle class, because energy investments are a particularly effective method of insourcing manufacturing jobs, which in turn spur jobs in invention, installation, and maintenance.From the passage which of the following can be inferred about imported oil?

Top Courses for GMATView all

Top Courses for GMAT

A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer?
Question Description
A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? for GMAT 2024 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for GMAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer?.
Solutions for A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for GMAT. Download more important topics, notes, lectures and mock test series for GMAT Exam by signing up for free.
Here you can find the meaning of A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer?, a detailed solution for A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? has been provided alongside types of A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice A sum of $12 million was divided between two investments. The smaller portion was invested at 6%, and the remainder at 4%. The earnings from the 4% investment exceeded the earnings from the 6% investment by $20,000. Find the amount invested at each rate.a)$4.6 million, $9.2 millionb)$4.6 million, $7.4 millionc)$2.8 million, $7.4 milliond)$10.5 million, $1.5 millione)$4.6 million, $2.8 millionCorrect answer is option 'B'. Can you explain this answer? tests, examples and also practice GMAT tests.
Explore Courses for GMAT exam

Top Courses for GMAT

Explore Courses

Suggested Free Tests

Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev
Get App
© EduRev
Education Revolution
Signup to see your scores go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup