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The combined original salary for two employees is $120,000. After a 20% bonus to the first employee and a 30%...

GMAT Algebra : (Alg) Questions

Source: Prism
Algebra
Systems of 2 linear equations in 2 variables
MEDIUM
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The combined original salary for two employees is \(\$120,000\). After a \(20\%\) bonus to the first employee and a \(30\%\) bonus to the second employee are applied, the combined total compensation is \(\$150,000\). Which system of equations gives the original salary \(\mathrm{s}\), in dollars, of the first employee and the original salary \(\mathrm{t}\), in dollars, of the second employee?

A

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{0.80s + 0.70t = 150{,}000}\)

B

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{0.20s + 0.30t = 150{,}000}\)

C

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{1.20s + 1.30t = 150{,}000}\)

D

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{1.30s + 1.20t = 150{,}000}\)

Solution

1. TRANSLATE the original salary information

  • Given information:
    • Combined original salaries = $120,000
    • Let \(\mathrm{s}\) = first employee's original salary
    • Let \(\mathrm{t}\) = second employee's original salary
  • First equation: \(\mathrm{s + t = 120,000}\)

2. INFER what "bonus" means for total compensation

  • A 20% bonus doesn't mean the employee only gets 20% of their salary
  • It means they get their full original salary PLUS 20% more
  • First employee's total compensation = \(\mathrm{s + 0.20s = 1.20s}\)
  • Second employee's total compensation = \(\mathrm{t + 0.30t = 1.30t}\)

3. TRANSLATE the total compensation information

  • Combined total compensation after bonuses = $150,000
  • Second equation: \(\mathrm{1.20s + 1.30t = 150,000}\)

4. Identify the complete system

  • \(\mathrm{s + t = 120,000}\)
  • \(\mathrm{1.20s + 1.30t = 150,000}\)

Answer: C




Why Students Usually Falter on This Problem

Most Common Error Path:

Weak INFER reasoning: Students think "20% bonus" means the employee receives only \(\mathrm{0.20s}\) instead of understanding it means total compensation of \(\mathrm{1.20s}\).

They set up the second equation as \(\mathrm{0.20s + 0.30t = 150,000}\), reasoning that the bonuses alone add up to $150,000.

This may lead them to select Choice B (\(\mathrm{s + t = 120,000}\); \(\mathrm{0.20s + 0.30t = 150,000}\))


Second Most Common Error:

Poor TRANSLATE execution: Students correctly understand that bonuses mean \(\mathrm{1.20s}\) and \(\mathrm{1.30t}\), but mix up which employee gets which bonus percentage.

They write \(\mathrm{1.30s + 1.20t = 150,000}\), giving the 30% bonus to the first employee instead of the second.

This may lead them to select Choice D (\(\mathrm{s + t = 120,000}\); \(\mathrm{1.30s + 1.20t = 150,000}\))


The Bottom Line:

The key insight is understanding that a percentage bonus means the total compensation equals the original salary plus the bonus amount, not just the bonus itself.

Answer Choices Explained
A

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{0.80s + 0.70t = 150{,}000}\)

B

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{0.20s + 0.30t = 150{,}000}\)

C

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{1.20s + 1.30t = 150{,}000}\)

D

\(\mathrm{s + t = 120{,}000}\)
\(\mathrm{1.30s + 1.20t = 150{,}000}\)

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