It is obvious that (1) and (2) are INSUFFICIENT alone.
Have a feeling it is C, so trying to solve combining (1) and (2)
Let the avg sal of all employees, managers and directors be A,M and D respectively.
We know that A = Sum of sal of M's + Sum of Sal of D's / Nm + Nd where Nm and Nd represent the no. of managers and no. of directors. ------ Eq (1)
M = A - 5000 --------- Eq (2)
D = A + 15,000 -------- Eq (3)
Let X be the ratio of managers to all employees
So, 1 - X will be the ratio of directors to all employees
=> Sum of Sal of M = M * X * (Nm + Nd)
=> Sum of Sal of D = D * (1-X) * (Nm + Nd)
Substituting these values in Eq (1)
A = [M * X * (Nm + Nd) + D * (1-X) * (Nm+ Nd)] / (Nm + Nd)
A = M*X + D*(1-X)
Using Eq (2) and Eq (3)
A = X * (A-5000) + (1-X) * (A + 15000)
A = AX - 5000X + A + 15000 -AX - 15000X
=> 20000X = 15000
=> X = 3/4
Thus the % of Managers = 75% . Hence, C.
Took a lot of time to solve... this one. I probably would've guessed this one as C on the actual exam.
Does anybody have an easier method?



LinkBack URL
About LinkBacks







Reply With Quote
Just not sure whats wrong.. Nevertheless, hope it makes sense !

Bookmarks